Briefing: Jan. 12, 2023

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Home health agency must pay $3.8 million in back wages, liquidated damages

A home healthcare agency in Willow Grove, Pennsylvania, must pay a total of $3.8 million in back wages and liquidated damages after 433 employees were denied full overtime wages, the US Department of Labor reported Jan. 10.

The company, TriMed Healthcare LLC, and owner Beverly Jordan must pay $1.9 million plus an equal amount in liquidated damages as well as a civil money penalty of $180,141, according to the department.

“This is a significant recovery of back wages and liquidated damages for people who typically work for low wages and often struggle to make ends meet,” said Principal Deputy Wage and Hour Administrator Jessica Loom.

An investigation found the company paid direct care employees a regular rate ranging from $7.25 to $14 per hour. However, to avoid the expense of paying employees proper overtime, the employers lowered their regular rates when employees worked more than 40 hours in a workweek and paid overtime compensation based on those rates, according to the department. It also found the employer paid some administrative employees straight time when overtime pay was required, failed to pay direct care workers for travel time between client homes and did not keep records as required.

TriMed HealthCare LLC provides home care services in Bucks, Montgomery, Northampton, Delaware, Chester, Lehigh, Philadelphia and other surrounding counties in Pennsylvania.