The U.S. Department of Labor has recovered $326,836 in back wages and damages for 504 employees of Passavant Memorial Homes. The investigation by the Wage and Hour Division found that the Pittsburgh-area residential homes operator failed to include non-discretionary bonuses when calculating overtime pay rates. This omission is a violation of the Fair Labor Standards Act, which mandates that such bonuses be factored into overtime calculations.
The total amount recovered includes $163,418 in back wages and an equal amount in liquidated damages.
"Passavant Memorial Homes workers deliver essential care and enable people in need to live with dignity. Yet, too often, they are shortchanged their hard-earned wages by employers that don’t include non-discretionary bonus payments in overtime calculations," explained Wage and Hour Division District Director John DuMont in Pittsburgh. "We’re committed to protecting these workers and ensuring they get their full pay."
Passavant Memorial Homes was founded in 1895 and operates 140 residential homes providing direct care and support services to individuals with intellectual disabilities throughout western Pennsylvania. The organization also offers support and companion care in personal residences.
Further information about wage protections for care workers can be obtained from the Wage and Hour Division.