Canadian Imperial Bank of Commerce (CM) has agreed to pay $153 million to settle a decades old class-action lawsuit concerning the Toronto bank's overtime policies.
Dara Fresco, a former CIBC bank teller, initially filed the lawsuit back in 2007.
An Ontario Court of Appeal last year dismissed an attempt by CIBC to overturn a lower-court ruling in favour of the class-action suit, which now counts 31,000 current and former employees.
Fresco told journalists that the $153 million settlement is a “fair compromise” that will compensate thousands of people for their labour.
CIBC said the settlement resolves a contentious issue and will enable it to avoid additional legal costs. The agreement still needs to be approved by the Ontario Superior Court.
CIBC stock has declined 28% over the past year to $55.85 per share.
