The Department of Labor (DOL) on October 4 2014 announced that it will delay bringing enforcement actions against homecare employers who violate the new minimum wage and overtime requirements imposed by the homecare regulations as of January 1, 2015.
This is a delay in enforcement, not a revocation of the FLSA requirements for homecare workers. This means a 6-month reprieve during which the DOL will not bring enforcement actions against violators of the new rules (minimum wage and overtime). The following 6 months to December 31, 2015, the DOL will “exercise prosecutorial discretion” taking into consideration the extent to which employers have made good faith efforts to bring their homecare programs into compliance with the FLSA.
The effective date of the regulation remains January 1, 2015. At that time, homecare employers must comply with minimum wage requirements and overtime pay of one and a half time the regular rate of pay for 40 hours a week.
For more information on the DOL announcement, check the official publication: http://www.ofr.gov/OFRUpload/OFRData/2014-24144_PI.pdf
Overtime Suit for Home Health Employer
The DOL is actively prosecuting employers in the home health sector who break the Wage & Hour laws. According to the Virginia Pilot this week, the Department of Labor (DOL) is suing HPR Medical Services, a Virginia Beach home health care provider, over allegations that the company failed to pay its nurses overtime during the past three years. According to the suit in U.S. District Court, HPR Medical Services improperly labeled twelve nurses as independent contractors. In 2007, the owner Renee McCrae had been warned not to do according. The suit seeks overtime pay for the nurses, who worked in private residences and in nursing homes and who routinely worked more than 40 hours a week.