California’s Labor Commissioner reported earlier this month that it cited Feld Care Therapy Inc. more than $9 million for willfully misclassifying 1,280 speech, physical and occupational therapists as independent contractors.

The therapists, who worked part time, traveled to clients’ homes to provide care but were not paid sick leave under California’s Covid-19 Supplemental Paid Sick Leave as required by law, according to the Labor Commissioner’s office.

“During the height of the pandemic, these misclassified therapists provided healthcare services while they were simultaneously being denied paid sick leave and Covid-19 SPSL,” said California Labor Commissioner Lilia García-Brower.

The Labor Commissioner’s office opened an investigation into Feld Care Therapy Inc. in November 2020 after receiving reports it was misclassifying workers. The company, which operates as FeldCare Connects, is based in Westlake Village, California.

An audit of the company’s records from 2019 to 2022 uncovered the misclassification and other violations, according to the office.

Feld Care Therapy and CEO Randi Peled are jointly liable for $1,134,500 in damages owed to the 1,280 workers and a civil penalty of $1,677,500 for the violation of the itemized statement provision, according to the office.

In addition, Feld Care Therapy is liable for damages of $1,707,350 for failure to provide written notice of sick leave balance/usage, $1,554,850 for the violation of the supplemental sick leave provisions and $256,900 for paid sick leave recordkeeping requirements, according to the office. Feld Care Therapy is also liable for civil penalties of $2,710,000 for willful misclassification of employees as independent contractors.