Today’s announcement serves as a reminder to employers that misclassifying employees as independent contractors can result in serious consequences. The US Department of Labor announced that the nursing registry staffing firm in Sarasota, Florida, will pay $260,221 for misclassifying 61 caregivers as independent contractors. This misclassification meant that the workers did not receive their rightful overtime pay. This violation of federal law was resolved with a consent judgement from the Office of Solicitor after a period of litigation.
The employer, CSI Catalano’s Nurses Registry Inc., part of Caregiver Services Inc., provides staffing services that include nurses, certified nursing assistants, home health aides, and companions.
Nicolas Ratmiroff, District Director of the Wage and Hour Division in Tampa, Florida, has emphasized that all workers have the right to receive the wages they have legally earned. Ratmiroff urged employers to contact the Wage and Hour Division in order to determine the status of their worker as either employee or independent contractor.
This case serves as a warning to employers, reinforcing that misclassifying employees as independent contractors is a serious violation of the law, which can have significant consequences.