Illinois Attorney General Kwame Raoul has announced a settlement with Midway Staffing Inc. to resolve allegations the temporary staffing agency entered into no-poach agreements and engaged in wage fixing with other staffing agencies:
“We are pleased to have reached a final resolution that holds the defendants accountable for their unlawful no-poach and wage-fixing practices, and we look forward to distributing funds to the temporary workers harmed by these illegal conspiracies,” Raoul said. “My office has and will continue to enforce laws that protect workers’ rights to fair wages and opportunities to better provide for their families.”
In 2020, Raoul’s office filed a lawsuit against three staffing agencies, Midway, Elite Staffing Inc. (Elite), Metro Staff Inc. (Metro Staff), and their common client Colony Display LLC (Colony). Raoul alleged the staffing agencies formed a no-poach agreement to refuse to solicit or hire each other’s employees and to fix the wages paid to employees. Colony, a manufacturing company, acted as an intermediary between the parties by facilitating communication about the unlawful agreements and assisting with enforcement of the no-poach agreements. Raoul’s lawsuit further alleged that the staffing agencies eliminated competition and harmed temporary workers in Illinois by interfering with their ability to seek better employment opportunities, wages and benefits.
Under the terms of the settlement, which has been submitted to the court for approval, Midway will pay $1 million that will primarily be used to compensate temporary workers impacted by Midway’s role in no-poach and wage-fixing agreements, an arrangement which the Supreme Court of Illinois deemed plainly anticompetitive. Midway must also take steps to ensure that affected workers will be free to work for the employer of their choice. In addition, the settlement requires Midway to implement compliance measures and prohibits the company from engaging in conduct that violates antitrust laws.
This settlement follows a $1.2 million settlement Raoul’s office reached with Colony in 2023, a $1.5 million settlement reached with Elite in August 2024, and a $1.8 million settlement reached with Metro Staff in November 2024. Midway, which began supplying temporary workers later than Elite and Metro Staff and was the last to allegedly join the conspiracies, has now settled for $1 million.
With Midway’s agreement, the litigation is now concluded. In total, Raoul recovered $5.5 million and obtained important injunctive relief from all defendants.
Raoul’s office also reached a second settlement to resolve its claims against Midway in a similar lawsuit filed in 2022. This suit was brought against another group of staffing agencies, including Midway, and their client, Vee Pak LLC (DBA Voyant Beauty) for entering into a no-poach conspiracy.
Under the terms of this settlement, which has been submitted to the court for approval, Midway will pay $200,000 that will primarily be used to compensate temporary workers impacted by the company’s role in the no-poach agreement. Midway must also implement measures similar to those required of it in the settlement of the Colony matter.
Workers who believe their rights have been violated are encouraged to call the Workplace Rights Hotline at 1-(844)-740-5076, or to file a complaint in English or en Español by visiting the Attorney General’s website.
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