Target is paying $4.6 million to settle a class action from hourly warehouse workers at its three New Jersey distribution centers, and settlement checks from the Target $4.6 million agreement will be mailed automatically to more than 13,000 eligible workers after the court’s final approval order. No claim form is required. Payments are calculated from Target’s own payroll records and average roughly $200, though the exact amount depends on how many weeks you worked during the class period.
Who Qualifies for a Check
The class covers anyone who worked as an hourly “progression team member” at one of Target’s three New Jersey distribution centers at any point from August 6, 2019, through the date of the final approval order. The court certified the class under Rule 23(b)(3), so every eligible worker was included automatically unless they filed to opt out by February 13, 2026.1Top Class Actions. $4.6M Target Distribution Center Class Action Settlement for NJ Workers
Salaried employees, non–New Jersey workers, and store employees are not part of this settlement. The underlying claim was that Target failed to pay hourly warehouse workers for time spent walking through the distribution centers before and after shifts, and some reporting also noted mandatory security screening time.2NJ Distribution Center Settlement. Frequently Asked Questions Target did not admit wrongdoing.3HR Morning. Target Settles Wage Claim Lawsuit
If you were in the class, you should already have received a notice packet, mailed by the administrator on November 19, 2025.4NJ Distribution Center Settlement. Sadler v. Target Settlement If you moved since working at Target, update your address with the administrator so the check reaches you.
How Much Your Check Will Be
The $4.6 million is a gross fund, not the amount split among workers. Before payments go out, the fund pays attorneys’ fees of up to roughly $1.53 million (one-third), an estimated $300,000 in litigation expenses, up to $10,000 as a service award for lead plaintiff Krystal Sadler, and Epiq Global’s administration costs.5Claim Depot. NJ Distribution Center Settlement3HR Morning. Target Settles Wage Claim Lawsuit What’s left — the net settlement fund — is approximately $2.75 million.6Newsweek. Target Checks Americans Settlement
That net amount is split among class members pro rata by workweeks. The administrator divides your eligible workweeks by the total eligible workweeks for everyone in the class, then multiplies that percentage by the net fund.5Claim Depot. NJ Distribution Center Settlement A worker who was there the whole class period will receive substantially more than someone who worked only a few months.
With about $2.75 million spread across more than 13,000 workers, the average payment lands near $200.6Newsweek. Target Checks Americans Settlement There is no fixed per-person amount and no minimum guarantee. Employer-side payroll taxes on the wage portion are paid by Target separately and do not reduce your check.2NJ Distribution Center Settlement. Frequently Asked Questions
When Checks Will Arrive
The final fairness hearing was held on February 24, 2026, before Judge Christine P. O’Hearn in the U.S. District Court for the District of New Jersey.7PIX11. Target Agrees to Pay $4.6M Class Action Settlement The court has issued its final approval order, clearing the last major legal step before payment.8NJ Distribution Center Settlement. Settlement Documents Checks are expected to be mailed shortly after final approval, assuming no appeals delay the process.6Newsweek. Target Checks Americans Settlement The administrator has not published a specific mailing date.
What the Check Looks Like at Tax Time
Your payment is split into two pieces for tax reporting. One-third is treated as taxable wages and comes with standard payroll withholdings for income tax, Social Security, and Medicare taken out; that portion is reported on a W-2. The other two-thirds is treated as taxable non-wage income, reported on a 1099, with no withholdings taken at the time of payment.2NJ Distribution Center Settlement. Frequently Asked Questions The 1099 piece is still taxable even though nothing is withheld, so set some of it aside if you don’t want a surprise when you file.
Questions or a Missing Check
Class members can reach the settlement administrator at Sadler v. Target, Settlement Administrator, P.O. Box 2715, Portland, OR 97208-2715, or by phone at 1-888-840-4265.5Claim Depot. NJ Distribution Center Settlement Use that line to confirm your eligibility, update a mailing address, or ask about a check that hasn’t arrived.