In a lawsuit, the Labor Department accused Malden, Mass.-based Gate Solution Systems, under the supervision of Healthcare Services Group in Bensalem, Pa., of misclassifying employees at various healthcare facilities as independent contractors. The employees worked in cleaning, laundry and dietary assistance services, the Labor Department said in a Dec. 3 news release.
Gate Solution Systems owes about $1.44 million and Healthcare Services Group owes $990,000 in back wages and liquidated damages, plus applicable interest, according to the settlement.
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