Pennsylvania Targets Home Care Agencies in Wage Crackdown

Home Care Workers
Credit: Commonwealth Media Services

PHILADELPHIA, PA — Pennsylvania labor regulators launched a statewide enforcement initiative Wednesday targeting potential wage violations at home care agencies, shifting from primarily worker-triggered complaints to proactive investigations covering employers of nearly 100,000 workers.

The Department of Labor & Industry’s Bureau of Labor Law Compliance will examine whether covered home care workers are being paid for all hours worked, including legally required overtime. The state began sending notices Wednesday to agencies selected for investigation.

The initiative, called Standing Up for Home Care Workers, marks a more aggressive enforcement approach in an industry that accounts for roughly 40% of complaints filed under Pennsylvania’s Minimum Wage Act, according to L&I. Those complaints commonly involve unpaid overtime, uncompensated work, improper overtime calculations and inaccurate records.

Most labor investigations begin after an employee files a complaint. Under the new initiative, regulators are instead working with state agencies, labor organizations, worker advocates and other groups to identify potential violations and initiate investigations.

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“We are putting our enforcement resources where they are needed,” Labor & Industry Secretary Nancy A. Walker said, adding that the state intends to ensure workers are paid for all the time they work and hold employers accountable for violations.

Under Pennsylvania law, most home care workers employed by third-party agencies are covered by state minimum-wage and overtime protections. Covered employees must receive at least the minimum wage for all hours worked and overtime when they work more than 40 hours in a week.

The enforcement push follows Pennsylvania’s opposition last year to a federal proposal that would roll back minimum-wage and overtime protections for home care workers. State officials maintain that most workers employed by third-party home care agencies remain protected by Pennsylvania wage law regardless of the proposed federal change.

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The initiative also carries implications for Pennsylvania’s broader long-term care system. Home care workers provide services that help nearly 200,000 older adults and people with intellectual and physical disabilities remain in their homes, according to the Department of Human Services.

“When families cannot find a home care worker, older adults may go without” assistance with everyday tasks, Aging Secretary Jason Kavulich said. He also pointed to pressure on family caregivers and the potential for people to enter more restrictive and expensive care settings when home care workers are unavailable.

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SEIU Healthcare Pennsylvania President Matt Yarnell argued that relying on individual workers to identify and challenge wage violations places too much of the enforcement burden on employees.

“Caregivers shouldn’t have to become wage-and-hour experts just to get paid correctly,” Yarnell said.

L&I said improper pay can also contribute to workforce turnover and instability and place employers that comply with labor laws at a competitive disadvantage.

Home care workers can also file complaints with the Bureau of Labor Law Compliance, which enforces the state Minimum Wage Act and Wage Payment and Collection Law.

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