Tandem Diabetes Care $1.5 Million Wage and Overtime Settlement, California Employees Paid Without a Claim Form, Out-of-State Workers Join by Cashing a Check

Tandem Diabetes Care, Inc. has agreed to a $1,500,000 wage and overtime settlement, subject to final court approval, to resolve claims over unpaid wages, overtime calculations, meal and rest periods, paid sick leave and related pay practices. The settlement covers non-exempt employees who worked for Tandem in California and certain non-exempt employees elsewhere in the United States.

California class members generally do not need to file a claim form. Payments are calculated from Tandem’s records, and employees are included unless they opt out. Eligible employees outside California must join by endorsing or negotiating the settlement check they receive, within 180 days of issuance.

The court granted preliminary approval on August 28, 2026. The exact notice-mailing date, the calendar deadline for objections and opt-outs, the final approval hearing date and the payment date were not confirmed as of October 28, 2026. Rely on the notice from the administrator, CPT Group, Inc., for exact dates.

Quick Facts: Tandem Diabetes Care $1.5 Million Settlement

Detail	Information
Company	Tandem Diabetes Care, Inc.
Settlement amount	$1,500,000 maximum base amount, subject to a workweek-adjustment provision
Case name	Ostrie, et al. v. Tandem Diabetes Care, Inc.
Case number	25CU057437C
Court	Superior Court of California, County of San Diego
Preliminary approval	August 28, 2026
California class period	October 23, 2021 through March 29, 2026
Who qualifies in California	Non-exempt Tandem employees who worked in California during that period
Who may qualify outside California	Certain non-exempt employees with qualifying restricted stock unit (RSU) vesting events and/or in qualifying Customer Care roles
Claim form	None for California class members; out-of-state employees join by endorsing or negotiating their check
California opt-out and objection deadline	45 days after the administrator mails the notice (exact date not confirmed)
Out-of-state check deadline	180 days after the check is issued
Administrator	CPT Group, Inc., toll-free (888) 910-0257
Official settlement website	CPT Group case page, Ostrie v. Tandem Diabetes Care
Final approval hearing and payment date	Not confirmed as of October 28, 2026

The agreement sets a $1,500,000 maximum base amount but addresses what happens if actual workweeks exceed the parties’ estimate by more than 5%, which can lead to an adjustment of the amount or a shortened covered period.

Who Qualifies for the Tandem Diabetes Care Settlement?

There are three overlapping groups. Eligibility depends on where you worked, whether your job was non-exempt, your dates of work and, outside California, whether you had RSU vesting events or held a qualifying Customer Care role. Exempt (salaried) employees are generally not covered.

California Tandem Diabetes Care employees, October 23, 2021 through March 29, 2026

You may be in the California class if you were a non-exempt Tandem employee in California at any time from October 23, 2021 through March 29, 2026. Former employees are included. The agreement estimates about 157,951 workweeks in this group, and your payment is based on the workweeks Tandem’s records credit to you.

Out-of-state Tandem employees with restricted stock units

Certain non-exempt Tandem employees outside California may qualify if they received RSUs that vested during the federal Fair Labor Standards Act (FLSA) covered period and were also paid overtime. The claim is that Tandem failed to include RSU value in the regular rate used to calculate overtime. The copy of the agreement reviewed did not show a completed calendar range for the FLSA period, so confirm your dates in your notice or with CPT Group.

Out-of-state Tandem Customer Care employees

Certain non-exempt employees outside California may qualify if they worked in a Customer Care role listed in Exhibit A to the agreement during the FLSA period. Listed titles include Appeals Specialist and Customer Care Specialist I and II, among others. Check your job title against the actual exhibit.

Can an employee qualify under more than one group?

Yes. An out-of-state employee who qualifies as both a Customer Care and an RSU employee can receive a share from each allocation. California employees may also receive a separate payment from the PAGA allocation, even if they opt out of the class settlement.

Related article: National Instruments $28 Million Securities Settlement, Investors Who Sold NATI Stock in August or September 2022 Can File Claims by January 14, 2027

What Is the Tandem Diabetes Care Wage Lawsuit About?

The case is a combined class and collective action settlement involving California claims and federal FLSA claims. The California claims allege that Tandem:

• failed to pay all straight-time and overtime wages and all hours worked;
• failed to provide compliant meal and rest periods or pay premiums;
• violated paid sick leave rules;
• paid wages late and made final-pay violations;
• issued inaccurate wage statements; and
• failed to reimburse necessary business expenses.

The out-of-state claims allege that RSU compensation was not properly included in the overtime regular rate, and that Customer Care employees were not paid for all hours worked.

Tandem denies the allegations. The agreement is a compromise and not an admission of liability or a court finding that violations occurred.

Which Laws Apply to the Tandem Diabetes Care Settlement?

• Fair Labor Standards Act, 29 U.S.C. § 207: requires overtime at one and one-half times the regular rate for hours over 40 in a workweek, for covered non-exempt employees.
• California Labor Code §§ 510 and 1194: daily and weekly overtime and recovery of unpaid minimum wage and overtime.
• California Labor Code §§ 512 and 226.7: meal and rest periods and premium pay.
• California Labor Code §§ 246–248.7: paid sick leave.
• California Labor Code §§ 201–204 and 210: timing of wages and final pay, with related penalties.
• California Labor Code §§ 226 and 226.3: itemized wage statements and penalties.
• California Labor Code §§ 2802 and 2804: reimbursement of necessary business expenses.
• California Private Attorneys General Act (PAGA), Labor Code § 2698 et seq.: civil penalties on behalf of the state and aggrieved employees.
• California Business and Professions Code § 17200: unfair competition.

These statutes frame the allegations. The settlement does not establish that Tandem violated any of them.

If you follow other overtime cases, see AllAboutLawyer’s coverage of the FCA US $3.8M Wage and Hour Settlement, Check If You Are Owed Unpaid Overtime 68K Workers Get Automatic Pay, and of the $670K Box Inc. Employee Wage Settlement, Did Box Shortchange Your Overtime Pay? File Claim Before May 11, which also involved RSU-related overtime issues.

How Much Can Tandem Diabetes Care Employees Receive?

No fixed amount per employee has been published. Payments depend on eligible workweeks, RSU vesting events and PAGA-covered pay periods, the final net amount after deductions, and the agreement’s allocation formula.

California allocation. 60% of the net settlement goes to the California class claims, and the $75,000 PAGA allocation comes out of this portion. Shares are based on each employee’s eligible workweeks.

Out-of-state allocation. 40% of the net settlement goes to the federal collective claims. Of that, 70% goes to qualifying Customer Care employees (based on eligible weeks in covered roles) and 30% to qualifying RSU employees (based on eligible RSU vesting events).

PAGA. The agreement allocates $75,000 to PAGA penalties: $48,750 to the California Labor and Workforce Development Agency and $26,250 to eligible employees, divided by covered pay periods. The PAGA period runs from September 11, 2024 through August 28, 2026.

Fees and costs. Class counsel may request up to one-third of the maximum settlement amount, or $500,000, plus reasonable expenses. Service or enhancement awards of up to $7,500 each are provided for the named plaintiffs and enhancement-award recipients. Administration costs and payroll taxes also come out of the fund. The court decides what it approves.

Taxes. The agreement proposes treating 40% of an individual share as wages (Form W-2) and 60% as liquidated damages, interest and penalties (Form 1099). This is not individual tax advice.

How to Take Action on the Tandem Diabetes Care Settlement

1. Confirm your history. Check whether you worked for Tandem in California between October 23, 2021 and March 29, 2026, or, outside California, whether you had qualifying RSU vesting events or worked in a listed Customer Care role. Keep pay stubs and equity records.
2. Keep your address current. CPT Group uses the employee data supplied under the agreement to mail notices and checks. Call (888) 910-0257 or use the CPT Group case page to ask whether notice has been mailed and how to update your address.
3. Review your notice. It should show your estimated share and the data used to calculate it. Follow the dispute instructions in the notice if your workweeks look wrong.
4. Follow the right participation rule. California class members need no claim form and are included unless they opt out. Out-of-state employees must endorse or negotiate the settlement check within 180 days of issuance to opt in. If they do not, they receive no payment and are not bound by the collective release.
5. Cash your check. California checks uncashed 180 days after mailing are transferred to the California State Controller’s Unclaimed Property Fund in your name. For out-of-state employees who do not negotiate their check in time, the agreement provides that those funds return to Tandem.

Can Tandem Diabetes Care Employees Opt Out or Object?

California class members can object or opt out under the agreement’s procedure. An objection asks the court to consider a problem with the settlement while you remain in the class. An opt-out request removes you from the California class settlement and generally preserves your ability to pursue covered individual claims, subject to applicable law. Both deadlines are generally 45 days after the administrator mails the notice, and the exact date should be taken from the notice.

PAGA group members receive their PAGA payment even if they opt out of the class settlement. Out-of-state employees follow the separate check-endorsement rule above. Read the notice carefully before opting out, especially if you are considering an individual claim.

Key Dates in the Tandem Diabetes Care Wage Settlement

Date	Event
May 30, 2024	Pre-litigation letter sent on behalf of Matthew Guadagno concerning RSU-related overtime calculations
September 11, 2025	William Ostrie files a PAGA notice with the California Labor and Workforce Development Agency
October 23, 2025	Ostrie v. Tandem Diabetes Care, Inc. filed in San Diego County Superior Court
November 12, 2025	Parties mediate
July 1, 2026	Settlement agreement executed
August 28, 2026	Court grants preliminary approval
45 days after notice mailing	California opt-out and objection deadline (exact date not confirmed)
180 days after check issuance	Out-of-state employees’ deadline to negotiate the check and opt in
Not confirmed	Final approval hearing and payment date

Is This the Same as Tandem Diabetes Care’s Earlier Wage Settlement?

No. An earlier case, Buck Walsh et al. v. Tandem Diabetes Care, Inc., Judicate West Case No. A281153-48, covered California non-exempt employees from April 6, 2016 through July 16, 2021, with a maximum settlement of $1,850,000. The current Ostrie settlement covers a later period beginning October 23, 2021 and adds federal overtime claims for RSUs and Customer Care roles. A notice from the earlier case does not establish eligibility here. For another employer-side example, see AllAboutLawyer’s article on the $700K Dynatrace Sales Development Representative Overtime Settlement, Did You Work Off the Clock? Here Is How to Claim Your Share.

Frequently Asked Questions About the Tandem Diabetes Care Settlement

Is the Tandem Diabetes Care $1.5 million settlement approved?

The court granted preliminary approval on August 28, 2026. Final approval is pending, and no final hearing date was confirmed as of October 28, 2026.

Do California Tandem Diabetes Care employees need to file a claim?

No separate claim form is required. Payments are calculated from Tandem’s records, but you should review your notice and act if you want to opt out, object or dispute your workweeks.

What is the deadline for the Tandem Diabetes Care settlement?

There is no claim-form deadline for California class members. The opt-out and objection deadline is 45 days after the notice is mailed. Eligible out-of-state employees have 180 days from check issuance to negotiate the check and opt in.

Are Tandem Diabetes Care employees outside California eligible?

Some are: qualifying non-exempt employees with RSU vesting events and paid overtime during the FLSA period, and/or those in listed non-exempt Customer Care roles.

How much money will each Tandem Diabetes Care employee get?

No guaranteed amount has been published. It depends on eligible workweeks, RSU vesting events, PAGA pay periods, the net settlement amount and the allocation formula.

Does Tandem Diabetes Care admit wrongdoing?

No. The agreement states that Tandem denies liability.

How can former Tandem Diabetes Care employees check whether they qualify?

Review your employment records and contact CPT Group at (888) 910-0257. Ask whether notices have been mailed, and how to update your address or dispute your recorded workweeks.

Official Sources and Records

1. Official settlement website (administrator case page): CPT Group, Inc., Ostrie, et al. v. Tandem Diabetes Care, Inc., Case No. 25CU057437C, San Diego County Superior Court.
2. Settlement agreement: Class and Collective Action Settlement Agreement, the source for eligibility definitions, allocation formulas and participation rules.
3. State record: California Labor and Workforce Development Agency PAGA case record, which lists the settlement documents and the preliminary approval order.
4. Earlier settlement: 2021 Tandem Diabetes Care class notice, covering a different period.
5. Federal law: 29 U.S.C. § 207.

This article is for general information only and is not legal or tax advice. AllAboutLawyer.com is not a law firm. The allegations are disputed and the settlement is not an admission of liability.

Researched and written by Israr Ahmad, legal content researcher and founder of AllAboutLawyer.com. All facts verified against the settlement administrator’s official case page (CPT Group, Inc.) and the settlement agreement and California Labor and Workforce Development Agency record linked above, as of October 28, 2026. Last Updated: October 28, 2026.