- Kroger employees say they were underpaid, or not paid at all, according to class-action lawsuits.
- A new payroll system known as "MyTime" or "MyInfo" is to blame, HR Dive reported.
- Kroger says most of the problems have been fixed, but it overnighted checks to some employees.
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Some Kroger employees say that a new payroll system led to the grocery chain shorting them on payday, according to lawsuits against the company.
At least four class-action lawsuits claim that the system, implemented last year, resulted in workers receiving less pay than they were owed or no paycheck at all, industry publications HR Dive and Grocery Dive reported. The mistakes occurred between September and November 2022, according to the lawsuits, which have been filed in courts in four states: Ohio, Oregon, Washington, and Virginia.
The lawsuits allege that Kroger violated multiple state and federal laws due to the failure of the system, which is known as "MyTime" or "MyInfo," Dive reported.
The payroll issues have also attracted questions from US Senators Elizabeth Warren, Bernie Sanders, and Ron Wyden. In February, the trio wrote a letter asking Kroger CEO Rodney McMullen for details, including how many checks were late or for the wrong amount and what Kroger has done to fix the situation.
"This 'systematic wage theft' has harmed Kroger's workers across the country, resulting in four lawsuits against the company for federal and state violations of wage theft laws," the senators wrote.
A Kroger spokesperson did not immediately respond to Insider's request for comment on the lawsuits, but told Dive that "the majority of issues have been resolved."
Still, the spokesperson said, Kroger was "taking multiple steps to pay our associates as quickly as possible," including sending some workers checks by overnight delivery services.
As a result of the missed pay, some of the affected employees have had to find other ways to make ends meet, according to one of the complaints, which was filed in a Virginia district court on behalf of Kroger employees.
"For example, Kroger employees have been forced to work second jobs, or take on high-interest and risky payday loans in order to meet daily expenses," according to the complaint. That lawsuit cites potential violations of federal laws as well as wage statutes in Virginia and West Virginia.
Other lawsuits make similar claims about the system's implementation at Fred Meyer, a chain of supermarkets that Kroger operates in the Pacific Northwest and Alaska.
Kroger is one of the major retailers that have promoted their efforts to pay workers more in recent weeks. The grocery chain said it would increase spending on wages and benefits by $770 million.
Walmart and Home Depot made similar commitments in February.
Despite layoffs in other areas of the economy, such as the tech sector, unemployment among retail workers has remained low. Major retailers have had to increase pay and benefits in order to attract and retain new hires.
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