A federal court ordered a California nursing home operator to pay $690,696 to 108 employees after it denied them overtime wages and made them work through lunch breaks without pay, theThe violations occurred from December 2018 to July 2021 at Neldy’s Adult Residential Care Home locations, operated by Neldy’s R.C. Inc., according to a complaint.
The nursing home would split its workers pay into multiple checks to avoid paying overtime wages in violation of federal law, the Labor Department said in its news release. Neldy’s also “deducted meal breaks from workers’ wages when their duties required them to work during their breaks,” the department said. The Garden Grove, California-based company must pay $345,348 in back wages, the same amount in damages and another $25,000 in civil penalties.
, Neldy’s R.C. Inc. took out a $527,264 PPP loan in May 2020 it said it would use on payroll. That loan was forgiven. This wasn’t the first time the business was ordered to pay out back wages, the Labor Department said. It had to pay just over $1 million to 58 workers for similar violations that occurred from 2013 to 2016.More than 1,000 healthcare wage theft cases in 2022
Neldy’s R.C. Inc. is among the latest businesses to be nabbed by the federal agency in recent months. The healthcare industry racked up more than 1,000 cases of wage theft last year,Other recent high-profile wage theft casesto hundreds of workers nationwide who were allegedly denied full overtime pay. It admitted no wrongdoing.
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