Homecare Agency Ordered to Pay $1M for Wage Violations

LEBANON, Pennsylvania—The U.S. Department of Labor obtained a summary judgment in federal court, in an effort to recover more than $1 million in back wages and liquidated damages. The back wages and damages are being recovered for 193 employees of a Pennsylvania homecare agency and its owner, which failed to pay workers the required minimum and overtime wages.

The U.S. District Court for the Middle District of Pennsylvania entered a July 31 judgment, which required WiCare Home Care Agency, LLC in Lebanon and its owner, Luis Hernandez, to pay $529,770 in back wages and an equal amount in liquidated damages. 

The action follows an investigation by the department’s wage and hour division, which found WiCare did not pay the required overtime rate for more than 40 hours in a workweek. The division determined the agency did not pay some employees for all hours worked and paid some employees less than $7.25 per hour, the current federal minimum wage. Additionally, investigators learned WiCare failed to maintain accurate time records, which is required by the Fair Labor Standards Act.

“Care industry workers provide support to people who depend on them for essential, quality-of-life services and they deserve to be paid fully for their hard work and dedication,” said Jessica Looman, wage and hour administrator. “Wage violations are all too common in the health care industry, and we are determined to root out offenders and hold them accountable for the financial harm they cause their employees.” 

“The Department of Labor will use all of its resources, including litigation if needed, to send a clear message to employers that willfully deny employees all of their hard-earned wages,” said Seema Nanda, solicitor of labor. “Defying federal regulations that protect workers’ rights is a serious mistake with costly consequences.”

Based in Lebanon, WiCare Home Care Agency, LLC provides in-home care services, such as companionship, personal care, homemaking and daily living support to residents in the following Pennsylvania counties: Adams, Berks, Carbon, Cumberland, Dauphin, Franklin, Fulton, Huntingdon, Juniata, Lancaster, Lebanon, Lehigh, Northampton, Perry, Schuykill and York.