Celine Dion Settles Handyman Dispute

TMZ broke the story ... Keith Sturtevant sued Celine and her husband in June, claiming the couple never paid him a dime in overtime for all the work he did as their "warehouse manager"/handyman. He says they wormed out of it by illegally classifying him as an "exempt employee."

Celine and her husband fired back ... claiming Keith was paid a "handsome yearly salary" which covered all overtime. They also said when they let him go, they offered him a $10,000 severance package with vacation -- which he refused.