Home Care Agency to Pay $1.6M in Back Wages, Damages After Misclassifying Aides as Independent Contractors
March 15, 2021
The U.S. Department of Labor's Wage and Hour Division (WHD) has announced that Christian Home Healthcare Corp. will pay more than $1.6 million in back wages and damages to 546 home health aides to resolve Fair Labor Standards Act (FLSA) violations. WHD investigators determined that Christian Home Health Care violated the FLSA when the employer: misclassified 546 home health aides as independent contractors instead of employees and then failed to pay them overtime when they worked over 40 hours per week; continued to pay some aides straight-time rates for overtime hours, even after it began to classify them correctly as employees; and failed to keep a record of the number of hours worked by office staff. Christian Home Healthcare Corp. must pay $812,675 in back wages and an equal amount in liquidated damages to the affected home health aides.