A healthcare staffing firm will pay $950,000 in back wages and interest to approximately 3,000 workers in Illinois to resolve allegations of improperly deducting “booking fees” when workers missed shifts, Illinois Attorney General Kwame Raoul announced Thursday. However, the staffing firm in this instance, GrapeTree Medical Staffing, denied wrongdoing.

“GrapeTree has reached an agreement with the Office of the Illinois Attorney General regarding specific requirements for paycheck deductions under Illinois law,” the company said in a statement to SIA.

“While GrapeTree denies any wrongdoing, we have made the decision to discontinue our practice of charging healthcare professionals booking fees for access to book shifts through GrapeTree’s work portal,” the company said. “This policy change applies to all healthcare professionals in our network effective June 12, 2023.”

Raoul’s office said the company charged employees a fee in the form of a payroll deduction if they did not show up for a shift or canceled a shift within 72 hours. The fees deducted ranged in size from $50 to $200.

“Illinois law prohibits employers from disciplining employees by deducting their pay,” Raoul said in a press release. “Any company doing business in our state must follow laws that require workers to be compensated for the hours they work without unauthorized pay deductions.”

The Illinois Wage Payment and Collection Act permits pay deductions in only specific limited circumstances, and discipline policies do not match any of those circumstances, according to Raoul.

In its statement, GrapeTree said it takes great care to design its policies in accordance with the law and in the best interests of its healthcare professionals.

“We invest significant time and resources to enhance the personal and professional support and incentives we offer to our healthcare professionals,” it said. “This includes industry-leading pay rates, 24/7 dedicated support, and an enhanced loyalty program.”