32 Silicon Valley care home workers to receive $718K in back wages, damages


The U.S. Department of Labor (DOL) Wage and Hour Division investigators found the owners of two residential care enterprises in violation of the minimum wage, overtime and recordkeeping provisions of the Fair Labor Standards Act (FLSA).

Specifically, the employers paid most workers a flat rate per day, ranging from $75 to $103, for working at least 12 hours per day, five to six days a week.

As a result, the employer violated minimum wage laws when the day rates failed to cover at least $7.25 per hour for all the hours employees worked. The employer also failed to pay workers time and one-half their regular rates when they worked more than 40 hours in a week, as overtime laws require, and failed to record the hours actually worked by employees in violation of the FLSA’s provisions.

Director of Wage and Hour Division, San Francisco District Office Director Susana Blanco said, “Workers in the residential care industry, who work long hours taking care of our loved ones, often struggle to take care of their own families. When they are denied hard and rightfully earned wages, it’s unacceptable.”

“The violations found here are all too common. The resolution of this case sends a strong message that we are committed to making sure that these workers take home every penny they have rightfully earned.”

As a result, DOL has directed the employers to pay 32 workers more than $359,000 in back wages and an equal, additional amount in liquidated damages.

The employers were identified as Lorraine Cerezo Lim doing business as LQC Care Home and Richlee Care Home, and Luzviminda Cerezo doing business as White Oaks Manor, Cerezo Residential Care Home and Ross Senior Care Home.

The sites of their business operations included: 427 Richlee Drive in Campbell, 2064 Cherry Ave. in San Jose, 2991 Faircliff Court in San Jose, 1573 Willow Oaks Drive in San Jose, 2858 Ross Ave. in San Jose,1680 White Oaks Ave. in Campbell and 2934 Jessie Court in San Jose – all in California.

DOL’s Wage and Hour Division continues to find violations in the residential care field, particularly in the Bay Area. In fiscal year 2015, the division’s San Francisco District Office concluded more than 100 investigations of residential care facilities and nursing homes, resulting in $3 million in back wages and damages for more than 475 employees.

For more information about federal wage laws administered by the Wage and Hour Division, call the agency’s toll-free helpline at 866-4US-WAGE (487-9243). Information also is available at http://www.dol.gov/whd.