Former Fred’s workers sue the company for severance pay they say they were promised

Local News

MEMPHIS, Tenn. (localmemphis.com) – According to a federal lawsuit, former Fred’s warehouse workers say the company pulled a fast one and reneged on severance they were promised.

The suit, filed by the Workers United Union, states on July 10th of this year, the vice president of HR for Fred’s signed and severance agreement to pay 145 warehouse workers: one week of pay for every year of service.

But on August 8th, the day before the warehouse closed, the VP of HR emailed the union to say outside legal council determined the agreement was not valid, and employees would only get one week of pay as severance, no matter how long they worked for the company.

Fred’s has until September 17th to respond to the lawsuit.

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