Interactive Brokers Settles Wage Lawsuit for $1.8M

Interactive Brokers settles $1.8M wage lawsuit through a collective action filed by customer support employees. The proposed order was submitted to the Illinois Northern District Court on September 16, 2025. The settlement seeks to resolve allegations that the broker misclassified employees as exempt and failed to pay them overtime compensation. Plaintiffs Tyree Thomas, Jake Cirame, and Mark Alberts, along with Interactive Brokers, agreed to resolve the case on a collective-wide basis, subject to court approval. 

The plaintiffs alleged in their Fourth Amended Complaint that the firm violated the Fair Labor Standards Act by misclassifying customer support staff as exempt employees. As a result, they claimed that the firm failed to pay one-and-a-half times their regular hourly rate for hours worked beyond 40 each week and failed to maintain accurate time records.

Interactive Brokers Settles Wage Lawsuit for $1.8M

Thomas, who worked at Interactive Brokers from November 2017 to May 2022, said he frequently worked around 50 hours weekly without receiving overtime. Cirame, employed between August 2021 and September 2022, reported working about 43 hours per week on average, while Alberts, who served the firm from April 2010 to August 2021, said he often worked 48 hours weekly. All three, along with other customer support employees, stated that they regularly skipped meal breaks, instead eating at their desks while continuing to assist clients. 

The settlement terms include a gross fund of $1,825,000, which will cover awards for opt-in plaintiffs, attorneys’ fees, settlement administrator costs, and payments to the three named plaintiffs. Each plaintiff will receive a $10,000 general release payment, while attorneys will take one-third of the total settlement amount. 

Furthermore, the agreement accounts for up to 32,120 workweeks, representing approximately 298 putative collective members. The proposed order characterizes the settlement as fair, adequate, and reasonable, and it also authorizes the distribution of a settlement notice to potential class members. Once finalized, the case will be dismissed with prejudice, ending the lengthy litigation. By agreeing to this settlement, Interactive Brokers avoids prolonged legal proceedings while employees secure significant monetary relief for their unpaid overtime claims. This resolution also underscores the importance of compliance with labor laws requiring fair compensation for all hours worked.

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