The California Labor Commissioner’s Office (LCO) has achieved a significant $5.5 million agreement with Adat Shalom Board and Care Inc. to compensate 148 workers who provided services at the six adult care facilities in Los Angeles.
Employees, responsible for round-the-clock care for elderly residents, faced the challenge of being paid for only six hours a day. The initial disbursement, amounting to $2 million, has been distributed among the workers as part of this historic settlement.
Employees who worked at Adat Shalom from July 2014 to July 2017 are urged to contact the LCO at 833-LCO-INFO (833-526-4636) as they may be entitled to unpaid wages and additional compensation under the terms of this settlement agreement.
Lilia García-Brower, California Labor Commissioner, expressed concern about unfair compensation for years: “The employer was paying these caregivers less than three dollars per hour, attempting to evade responsibility by hiding assets. Our team took the employer to court to stop the illegal transfer of assets.”
The Commissioner assured that the office is firmly committed to recovering unpaid wages and putting an end to illegal practices. Furthermore, the agreement ensures the employer’s commitment to cease operating residential care businesses in California.
The California Labor Commissioner’s Office initiated the investigation in June 2017 after receiving reports of labor law violations from the Pilipino Workers Center (PWC). Citations were issued in 2018, and after unsuccessful appeals from Adat Shalom Board & Care, Inc. and its owner/operator, Angelica Reingold, confirmation came in 2021. Subsequently, the office filed a lawsuit to reverse the improper asset transfer, culminating in the historic $5.5 million agreement.
This caregiver compensation agreement sets a significant precedent in defending labor rights in California. The Labor Commissioner’s Office once again demonstrates its steadfast commitment to justice and equity in the workplace.
