News Brief

US Department of Labor recovers $190K in back wages, damages for 4 employees denied minimum wage, overtime by Lansing group homes operator

Employers:    Medhealth Suppliers & Providers Inc, operating as Evergreen Place, Evergreen Place 2 

                        and Bedford Home, Lansing, Michigan

                        Roseline Rowan, owner                        

Action:            Consent order and judgement

Court:             U.S. District Court for the Western District of Michigan, Southern Division

Court action: On May 3, 2024, U.S. District judge Jane M. Beckering ordered Roseline Rowan, owner of  Medhealth Suppliers & Providers Inc., to pay $190,648 — $95,324 in back wages and an equal amount in liquidated damages to four employees after an investigation by the Wage and Hour Division found the employer violated the Fair Labor Standard Act’s minimum wage, overtime and recordkeeping provisions.

Investigators found Medhealth paid salaries to non-exempt employees that did not meet the minimum wage and overtime requirements for all hours worked. The company’s employees were live-in caregivers, providing nearly round-the-clock care for residents at the three group homes in Lansing.

Quote: “The caregivers provide their clients with round-the-clock care and deserve the wages they rightfully earned for their hard work and dedication,” said Wage and Hour District Director Mary O’Rourke in Grand Rapids. “Employers are legally responsible for knowing and complying with federal wage laws.”

Background: In fiscal year 2023, the U.S. Department of Labor’s Wage and Hour Division recovered more than $31.8 million in back wages for workers in the healthcare industry nationwide and $654,035 for workers in Michigan. 

Learn more about the Wage and Hour Division, a search tool to use if you think you may be owed back wages collected by the division and how to file an online complaint. For confidential compliance assistance, employees and employers can call the agency’s toll-free helpline at 866-4US-WAGE (487-9243), regardless of where they are from.

Download the agency’s new Timesheet App for iOS and Android devices – also available in Spanish –to ensure hours and pay are accurate.

United States Department of Labor v. 

Civil Action No. 1:24-cv-00311-JMB-SJB

Agency
Office of the Solicitor
Date
May 6, 2024
Release Number
24-551-CHI
Media Contact: Scott Allen
Phone Number
Media Contact: Rhonda Burke
Phone Number
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