Federal officials have filed a civil contempt petition against two Hackensack-based healthcare management firms and their chief executive for allegedly continuing to violate labor laws following a 2009 judgment.
Broadway Healthcare Management LLC, Broadway Nutritional Services LLC and Michael Konig failed to comply with the 2009 overtime pay judgment and violated the Fair Labor Standards Act through a partnership with Brooklyn-based Prime Services, which did not employ the employees affected, in an effort to dodge paying overtime wages to staff, according to the U.S. Department of Labor.
Investigators cited violations at ten facilities, including the Teaneck Nursing Center, officials said.
Nurses and support staff supplied by Broadway to several nursing homes were issued separate paychecks from Broadway and Prime Services for overtime workweeks, officials allege. The checks allegedly did not include work time beyond 40 hours per week or overtime premiums.
"The company also failed to pay nursing staff for certain hours worked beyond the scheduled end of their shifts. Additionally, the employer failed to include shift differentials and bonuses in employees’ regular rates for the purpose of computing overtime pay," according to a labor department statement.
The legal action seeks to have the firms and Konig found in civil contempt, produce complete records and pay for an independent auditor to calculate back wages.
“Broadway Healthcare Management has a long history of wage violations at the locations they operate. This case demonstrates that they clearly knew their obligation to pay overtime, yet willfully took steps to circumvent it,” Brian Johnson, director of enforcement for the department's Wage and Hour Division Northeast Region, said in a statement.
Konig and the firms entered into the 2009 judgment after another federal labor investigation, the agency said. Konig could not be reached for comment Sunday.