Professional Service Agreement

Home Health Company to Pay more than $272,000 for Failure to Pay Employees Travel Time

October 29, 2018

Massachusetts-based Worcester home health company will pay more than $272,000 in restitution and penalties, including compensation for 240 current and former employees, to settle allegations that the company failed to pay employees travel time and keep true and accurate payroll records. The investigation began after receiving a complaint from an employee alleging employees were not paid for all hours worked, particularly for time that home health aides spent traveling between scheduled patient visits throughout a single workday. Many home health aides visited two or more patients in a given workday, but these employees were only paid for time spent with patients. Time spent traveling between clients is considered compensable time. However, if the employee stops and performs personal business, goes home, or has an extended period of time between shifts, that time is not compensable. Under federal law, non-exempt employees must be paid time and a half their regular rate for all hours worked over 40 in a workweek. Certain states have more stringent requirements regarding when and at what rate overtime must be paid. SESCO has a long history of ensuring that employers are compliant with federal and state wage and hour requirements. If employers have any questions or concerns about their pay practices, we recommend they contact us to ensure compliance.