A Garden Grove company that previously was ordered to pay more than $1 million to employees in a federal wage theft probe has again been ordered to pay back its staff hundreds of thousands of dollars.
A judge ordered Neldy’s Adult Residential Care Home to pay $690,696 to 108 adult caregivers after a U.S. Department of Labor probe discovered it had purposely hidden wages owed to its staff.
The order filed in the U.S. District Court for the Central District of California also permanently prohibits the care provider from committing future labor violations at its 12 locations in Orange and Riverside counties.
The probe found Neldy’s paid the affected employees with multiple paychecks in order to hide combined hours worked. Investigators also found the company deducted meal breaks from workers’ wages and failed to keep time and payroll records as required by law.
Related: A workers’ guide to wage theft: What to do if the boss steals your earnings
“The court’s action and our investigation send a clear message to unscrupulous care industry employers that we will hold them accountable for their attempts to exploit their workers and deprive them of their hard-earned wages,” said Wage and Hour Division District Director Min Park-Chung in San Diego. “The fact that the operator of Neldy’s Adult Residential Care Home continues to abuse their workers’ rights so blatantly despite their prior violations is truly appalling.”
An investigation from 2013 through 2016 found Neldy’s owed...
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