Operator of Pittsburgh-area residential homes accused of shortchanging employees $163K

PITTSBURGH (KDKA) -- The operator of 140 residential homes across western Pennsylvania is accused of shortchanging employees more than $163,000, the U.S. Department of Labor announced on Thursday. 

The department's Wage and Hour Division said an investigation found Passavant Memorial Homes failed to include non-discretionary bonuses when calculating overtime wage rates for over 500 employees. 

The Department of Labor said it secured more than $163,000 in back wages for those employees as well as $163,000 in damages. 

"Passavant Memorial Homes workers deliver essential care and enable people in need to live with dignity. Yet, too often, they are shortchanged their hard-earned wages by employers that don't include non-discretionary bonus payments in overtime calculations," Wage and Hour Division District Director John DuMont said in a press release. "We're committed to protecting these workers and ensuring they get their full pay."  

Under the Fair Labor Standards Act, the Department of Labor says non-discretionary bonuses -- like attendance or safety bonuses -- have to be included when computing overtime wages. 

Passavant Memorial Homes operates 140 residential homes that offer direct care and support services to people with intellectual disabilities, the Department of Labor said. According to the company's website, it employs about 1,400 people.