Honda has agreed to pay $2.3 million to settle claims that it violated wage and hour laws while its timekeeping software was offline due to a ransomware attack that affected employers across the country. The allegations included failing to accurately track workers’ hours and resulting in Fair Labor Standards Act overtime violations.

The proposed settlement, which still needs court approval, covers multiple lawsuits and potentially thousands of employees. The agreement came after difficult negotiations, with both sides opting to settle to avoid the risk and expense of taking the claims to trial. Honda stated that they remain committed to ensuring their associates are paid accurately and on time, and are pleased to put the matter behind them.