Nursing Home Chain in NY Owes Workers $2M

The Grand Healthcare System, a nursing home chain based out of New York, was investigated by the Department of Labor (DOL) for possibly violating the Fair Labor Standards Act (FLSA) by not paying its employees for all of their hours worked.  This past Thursday, the DOL announced that the company has agreed to pay more than $2 million to affected workers.

Nearly 850 employees across five different nursing home locations will be entitled to back wages and damages. The findings show that Grand Healthcare violated a number of labor laws including failing to pay its employees for overtime at time and half their regular hourly rate. The company also only paid employees for scheduled hours as opposed to the hours they actually worked. Additionally, the nursing home failed to pay its employees who worked through lunch breaks and also docked its workers’ pay for short rest breaks.

The kinds of labor violations found in Grand Healthcare nursing homes tend to be all too common in this industry. However, over the last couple of years the FLSA has been amended to grant workers additional protection such as higher wage rates and new potential overtime regulations could also make it easier for workers to demand owed wages. If employees are asked to work long hours and are either paid on a salary or per home visit, it may be a red flag as to improper payment.

If you or someone you know works in the home health industry and feels as though they aren’t getting paid properly, please call one of our employment lawyers at Fitapelli & Schaffer, LLP. We offer a free phone consultation with one of our experienced attorneys who will help address your questions and concerns. You can reach us by calling (212) 300-0375 or by visiting our website for more information