Feds again order back pay for Beaumont workers

    Susan J. Demas

    The U.S. Department of Labor has determined that a metro Detroit health care provider must pay about $400,000 in back pay to almost 500 employees. 

    Beaumont Health has again violated the Fair Labor Standards Act (FLSA) for overtime and record-keeping provisions, according to a DOL statement on Thursday. The DOL investigation found that employees at two Beaumont elder care facilities — Beaumont Commons in Dearborn and Beaumont Commons in Farmington Hills — had time automatically deducted for meal breaks the workers never took. 

    The company’s failure to accurately record employees’ hours resulted in a violation of the FLSA, the department said. 

    The DOL determined that similar violations occurred at six other Beaumont facilities earlier this year.

    “Employers are responsible for ensuring that they pay all employees the wages they have legally earned, and for keeping accurate records of the number of hours they work,” DOL Wage and Hour Detroit District Director Timolin Mitchell said in a statement. “We encourage employers to contact us for guidance, and to use the wide variety of tools we offer to help them fully understand their responsibilities. Violations like those found in this case can be avoided.”

    U.S. Dept. of Labor: 6 Beaumont health centers pay back almost $1M in back wages

    For its part, Beaumont officials say they cooperated with the investigation and are taking the necessary steps to pay back the employee wages.

    “We recently cooperated with the Department of Labor’s routine review of certain pay practices at two of our facilities, Beaumont Commons, Farmington Hills and Beaumont Commons, Dearborn,” Beaumont spokesman Mark Geary wrote in an email to the Advance.

    “As a result of that review, we will pay certain employees additional wages that we agreed to with the DOL. Further, we have also implemented additional procedures designed to document and ensure our employees are accurately reporting and thus are paid for all working time.”

    Nick Manes
    Nick Manes is a former Michigan Advance reporter, covering West Michigan, business and labor, health care and the safety net. He previously spent six years as a reporter at MiBiz covering commercial real estate, economic development and all manner of public policy at the local and state levels.


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