Staff of shuttered Tennessee hospital say they can't collect unemployment because operator didn't pay taxes

One hundred fifty employees who were laid off when Jamestown (Tenn.) Regional Hospital abruptly closed last week say they are having trouble filing for unemployment benefits, and some are being audited by the IRS, according to local CBS affiliate WTVF.

The employees say the hospital's operator, Rennova Health, deducted money from their paychecks for Social Security, health insurance and unemployment insurance, but never sent the withholdings to the government, according to the report.

State Rep. John Mark Windle, D-Livingston, is now calling on the state labor department to audit Rennova Health. The Tennessee Department of Labor said it is working with the hospital operator so former Jamestown Regional employees can receive unemployment. The department is also sending a "Rapid Response Team" to help former hospital employees update resumes and find job training and job openings, according to the report.

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