Tag Archive for: settle

UMass Memorial to Pay $1.2M to Settle Wage Claims After Ransomware Attack

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A ransomware attack took down the provider’s payroll system for weeks, and some employees allege they weren’t paid the full amount owed.

WORCESTER, Mass. — UMass Memorial Health, one of the largest health systems in Massachusetts, has agreed to pay $1.2 million to settle wage claims after a ransomware attack took down the provider’s payroll system.

On Dec. 11, 2021, UKG, the parent company of workforce management platform Kronos, notified clients using its Kronos Private Cloud product of a ransomware incident that caused weekslong outages affecting timekeeping and payroll across several industries, reports HR Dive. For more than a month, the UMass Memorial relied on backup timekeeping methods for its more than 16,000 employees. It resumed using the Kronos platform on Jan. 27.

Sergio Melgar, executive vice president and chief financial officer of UMass Memorial, told HR Dive that the organization ran its first payroll during the outage based on hours-worked for the last pay period on record, making adjustments for new hires and departures. However, Melgar said vacation time, leave, and shift differentials posed issues. He said UMass Health chose the best option available “given the difficult situation we were in” and described healthcare payroll as “maybe the most complicated payroll that exists.”

“In a complex environment like ours, people could have shift differentials,” said Melgar. “You have overtime that kicks in at different points in time. You could have a bonus for shifts. You could have all the different variables that affect the pay that somebody gets. And if you don’t have the data, you cannot calculate it.”

On May 12, employees filed a class action lawsuit against UMass Memorial, Kronos, and UKG, alleging they weren’t paid the full amount due in a timely manner which is required under the Fair Labor Standards Act (FLSA). UMass Memorial agreed to pay $1.2 million but has denied wrongdoing, claiming it paid employees correctly.

The plaintiff’s attorney said they plan to request $8,500 in incentive awards for each plaintiff, and up to $400,000 in attorneys’ fees. Individual workers are expected to receive an…

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Wawa paying state prosecutors $8M to settle malware data breach | Business

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Hillicon Valley: Second SolarWinds hack hearing | TikTok to settle privacy lawsuit

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Welcome to Hillicon Valley, The Hill’s newsletter detailing all you need to know about the tech and cyber news from Capitol Hill to Silicon Valley. If you don’t already, be sure to sign up for our newsletter by clicking HERE.



a close up of a flag: Hillicon Valley: Second SolarWinds hack hearing | TikTok to settle privacy lawsuit | Facebook apologizes for removing lawmaker post

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Hillicon Valley: Second SolarWinds hack hearing | TikTok to settle privacy lawsuit | Facebook apologizes for removing lawmaker post

Follow our cyber reporter, Maggie Miller (@magmill95), and tech team, Chris Mills Rodrigo (@chrisismills) and Rebecca Klar (@rebeccaklar_), for more coverage.

Two House committees held the second major hearing this week on the Russian cyber espionage attack that has become known as the SolarWinds hack, and lawmakers are pushing for breach notification legislation. TikTok agreed to pay millions in a settlement over allegations it collected users’ private data, and Facebook apologized to a lawmaker for accidentally labeling and removing a post as “hate speech.” Here’s a behind the scenes draft of early versions of Hillicon Valley.

INTO THE BREACH, PART TWO: House lawmakers on both sides of the aisle lined up behind potential legislation Friday to put in place national breach notification requirements in the wake of a massive foreign cyber espionage attack.

Debate over the legislation took place during the second Capitol Hill hearing this week on what has become known as the SolarWinds breach. The House Homeland Security and House Oversight and Reform panels will hold several hearings on the breach as part of their joint investigation into the incident.

Bipartisan leaders of both committees expressed strong interest in examining breach notification laws as part of an effort to ensure the federal government has visibility into successful cyberattacks on the private sector, and two key lawmakers already have legislation in the pipeline to tackle this.

Read more about the push for legislation here.

At the top of the hearing, lawmakers highlighted concerns over the cybersecurity stance of the federal government, blaming the SolarWinds incident on a “collective failure” to prioritize cybersecurity as a national security imperative.

Read more about their concerns here.

TIKTOK SETTLES: TikTok has agreed to pay $92…

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Traders Settle Case Tied to Hack of SEC’s Corporate Database

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Two men accused of trading on information hacked from a government database will pay $425,000 to settle regulatory claims, a fraction of the illegal profits they were alleged to have earned.

The outcome is more evidence that the effort to punish those responsible for the 2016 hack—which embarrassed the Securities and Exchange Commission, from which the data was stolen—is winding down without dire consequences for the accused. The alleged hackers, who live in Ukraine, remain free. The State Department recently offered $1 million…

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