Sign-on bonus errors: Agency pays $25,000 in back wages, damages

Effective Jan 19, 2022

Published Jan 19, 2022

Last Reviewed Jan 24, 2022

The Department of Labor recovered $12,469 in back wages and $12,469 in liquidated damages from a Pittsburgh, Penn., home health company, according to a Jan. 18, 2022, release.

The division’s investigation found that Three Rivers Home Care failed to pay an overtime premium on sign-on bonuses for 26 home health aides. The bonuses were contingent upon each employee’s continuing employment until the time of payment.

The Fair Labor Standards Act requires the bonuses be included in the regular rate of pay for overtime purposes. The employer also failed to maintain daily and weekly totals on the hours worked records, as the law requires.

“Home health aides provide essential services that allow people with significant needs to remain living at home,” said Wage and Hour Division District Director John DuMont in Pittsburgh. “Our investigation has recovered nearly $25,000 in rightfully earned wages owed to 26 hard-working employees.”

See the release from the DOL at https://www.dol.gov/newsroom/releases/whd/whd20220118-1.

See more HHL guidance around bonuses:

Sign-on bonuses rank as top recruitment strategy during difficult times: https://homehealthline.decisionhealth.com/Articles/Detail.aspx?id=534129

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