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Bay Area nursing homes settle over wage violations

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in Human Resources,Overtime Labor Laws

The U.S. Department of Labor’s Wage and Hour Division (WHD) has settled its lawsuit with two owners of several Bay Area nursing homes.

Razel Cortez and Elizabeth Palad—the owners of Walnut Creek Willows in Walnut Creek, Elizabeth’s Care Home 1 and 2 in South San Francisco, Samantha’s Care Home in San Bruno, New Haven Care Home in Union City, and Rayzel’s Villa and Villa San Lorenzo in San Lorenzo—settled with WHD by agreeing to pay $643,992 in back wages and damages to their employees.

The homes failed to keep accurate time records on nonexempt employees and failed to pay them overtime even though many of them often worked 60 hours per week. Under the settlement, the owners must hire a third-party to monitor Fair Labor Standards Act (FLSA) compliance during the three-year consent decree.

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