Little Caesars Workers Reach Wage Settlement With Franchisee

Court approves initial deal over claims of overtime violations and uniform costs

Published on Feb. 9, 2026

Little Caesars workers have secured preliminary court approval for a wage-and-hour settlement with the franchisee that operates the New York stores where they prepared pizzas. The deal resolves allegations that Phoenix Nexus LLC and its subsidiaries misclassified store managers as exempt from overtime protections and failed to comply with state law on uniform laundry costs.

Why it matters

This settlement highlights ongoing labor issues in the fast food industry, where workers have increasingly pushed for better pay and working conditions. The case also underscores the legal risks franchisors can face over labor practices at their franchised locations.

The details

Under the settlement, Phoenix Nexus will pay an undisclosed amount to resolve the workers' claims. Named plaintiff Gordon Horner alleged the company used his role as a manager to deny him overtime pay, a common tactic in the industry. The deal still requires final court approval.

  • The settlement was granted preliminary approval by a judge on February 6, 2026.

The players

Phoenix Nexus LLC

The franchisee that operates Little Caesars stores in New York where the workers were employed.

Gordon Horner

The named plaintiff who alleged he was misclassified as an exempt manager to deny him overtime pay.

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What they’re saying

“Phoenix Nexus used my role as a manager to deny me overtime pay, which is a common practice in the fast food industry that this settlement aims to address.”

— Gordon Horner, Named Plaintiff (Bloomberg Law)

What’s next

The settlement still requires final court approval before the workers can receive their payments.

The takeaway

This case highlights ongoing labor issues in the fast food industry, where workers have increasingly pushed for better pay and working conditions. The settlement also underscores the legal risks franchisors can face over labor practices at their franchised locations.