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California Labor Commissioner’s Workplace Cites Dwelling Well being Care Placement Companies Practically $2 Million for Misclassifying 66 Employees

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NEWS RELEASE







Lengthy Seaside—The Labor Commissioner’s Workplace has cited Angel Connection Nursing Care and Angel Connection Nursing Companies for improperly misclassifying 66 dwelling well being care employees as unbiased contractors. Investigators decided that Annabelle Ricasata, the proprietor of Angel Connection Nursing Care, is a full-time worker of Angel Connection Nursing Companies, and that she misclassified the workers as unbiased contractors to keep away from paying required wages, employees’ compensation insurance coverage and payroll taxes.

The 2 Lengthy Seaside-based firms should pay greater than $1.8 million for the wage theft violations, together with failure to pay 22 employees additional time wages, 9 of whom have been additionally not paid minimal wages due. One of many companies additionally failed to take care of employees’ compensation insurance coverage or present correct itemized wage statements for the misclassified workers.

“When employees are misclassified as unbiased contractors, there’s a damaging domino impact that impacts all ranges of our financial system. On this case, caretakers have been systematically denied minimal wage, additional time, and different legally required working situations,” stated California Labor Commissioner Lilia García-Brower. “Employees are sometimes unaware they’re being misclassified and denied fundamental rights. My workplace collaborates with trusted companions who convey these circumstances ahead that will in any other case go unreported. Unscrupulous employers who misclassify employees accomplish that not solely to dodge obligations but additionally to realize an unfair enterprise benefit over employers who adjust to the legislation.”

The Labor Commissioner’s Workplace opened its investigation into Angel Connection Inc. (dba Angel Connection Nursing Companies) and J Jireh Group (which makes use of the identify Angel Connection Nursing Care) after receiving a referral from the Pilipino Employees Middle and Guess Tzedek Authorized Companies.

Angel Connection Nursing Companies exercised management over the wages, hours and dealing situations of Angel Connection Nursing Care’s workers who have been misclassified as unbiased contractors.

Angel Connection Nursing Care proprietor Ricasata and Angel Connection Nursing Companies homeowners Merjilyn Chu and Joseph Fortunato are collectively and severally accountable for the $1,021,393 because of employees, which incorporates $213,163 in unpaid minimal wages, $283,058 in liquidated damages, $329,515 in additional time wages, $14,123 contract wages , and $181,534 in curiosity.

Angel Connection Nursing Care can be accountable for $330,000 for the misclassification of 66 employees, $171,000 for failure to supply itemized wage statements, and $357,046 for a Cease Order Penalty Evaluation for failure to supply employees’ compensation insurance coverage.

Enforcement investigations sometimes embrace a payroll audit of the earlier three years to find out minimal wage, additional time, and different labor legislation violations and calculate funds owed and penalties due. When employees are paid lower than minimal wage, they’re entitled to liquidated damages that equal the quantity of underpaid wages plus curiosity.

Misclassification happens when an employer improperly classifies their workers as unbiased contractors to keep away from paying minimal wage, additional time or payroll taxes. Misclassification additionally undermines companies that play by the foundations. A misclassified employee is denied the authorized proper to employees’ compensation protection if injured on the job, the appropriate to household go away, the appropriate to unemployment insurance coverage, the appropriate to arrange or be a part of a union, and safety towards employer retaliation.

California legislation requires civil penalties to be transferred to the State’s Common Fund when collected.

The Division of Industrial Relations’ Division of Labor Requirements Enforcement, also referred to as the California Labor Commissioner’s Workplace, combats wage theft and unfair competitors by investigating allegations of unlawful and unfair enterprise practices.

The Labor Commissioner’s Workplace in 2020 launched an interdisciplinary outreach marketing campaign, “Reaching Each Californian.” The marketing campaign amplifies fundamental protections and builds pathways to affected populations so employees and employers perceive authorized protections, obligations and the

Labor Commissioner’s enforcement procedures. Californians can comply with the Labor Commissioner on Fb and Twitter.

Media Contact: Communications@dir.ca.gov, (510) 286-1161

Employers with Questions on Necessities Could Contact: MakeItFair@dir.ca.gov



The California Division of Industrial Relations, established in 1927, protects and improves the well being, security, and financial well-being of over 18 million wage earners, and helps their employers adjust to state labor legal guidelines. DIR is housed inside the Labor & Workforce Growth Company

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