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Staffing exec to pay $135,000 in domestic work suit by Department of Labor

April 12, 2017

Staffing executive Sue Bhatia agreed to pay $135,000 to settle a lawsuit brought by the US Department of Labor on behalf of live-in domestic worker Sheela Ningwal, according to court documents filed Tuesday. Bhatia is CEO of IT staffing provider Rose International.

“Mrs. Bhatia today reached an agreement to resolve the complaint brought by the Labor Department regarding an employee,” according to a statement from the Bhatia family. “Mrs. Bhatia firmly denied all of the claims made by the department regarding the employee, whom Mrs. Bhatia contended had been treated as a virtual member of the family. The lawsuit was resolved for less than the cost of continuing to litigate the case and will allow Mrs. Bhatia to focus on her business affairs."

Allegations in the lawsuit’s complaint filed by the plaintiff claimed Ningwal was required to work an average of 15½ hours per day, seven days a week for a fixed monthly salary of $400. It also claimed Ningwal was left to sleep in a garage with dogs when she was ill. Other claims included that Ningwal was left at a residence for days without any food left for her – the suit argued that Ningwal was dependent on the Bhatia for food and transportation. Ningwal worked at the Bhatias’ homes in San Juan Capistrano, Calif.; Las Vegas; Long Beach, Calif.; and Miami.

In the consent judgment to settle the case, Bhatia agreed that she was Ningwal’s sole employer between July 2012 and December 2014, according to court documents. Bhatia also agreed to pay $135,000. That includes $54,348 in wages, $54,348 in liquidated damages and another $26,304 in damages.

The consent judgment resolves all claims in the lawsuit.