Elk River home healthcare provider owes nearly $275,000 in back wages

The Department of Labor recently announced Accurate Home Care in Elk River, Minnesota, violated the Fair Labor Standards Act (FLSA) minimum wage and overtime standards. As a result, the DOL has requisitioned $274,884 in back wages from the employer to recover lost wages for 61 employees.

Employees must receive minimum wage ($7.25 per hour) for all of their hours worked and time-and-a-half rates if they are on the clock more than 40 hours in a week. The DOL's Wage and Hour Division investigated the employer's payroll records, and found employees were sometimes being forced to work without pay if they missed scheduled hours in weeks past.

Accurate Home Care was also paying employees straight time - or standard rates - instead of premium wages for overtime and offering comp time as a replacement.

"Workers in the home health care industry provide an important service to the community. They deserve to be paid properly for all hours that they work," said Karen Chaikin, regional administrator for the Wage and Hour Division in the Midwest. "The Labor Department will not hesitate to follow up if they deny workers their rightful pay."

To avoid FLSA violations, employers should ensure their timekeeping and payroll processing systems are up to date and can accurately track time attendance.