University of Iowa Hospitals faces potential class-action lawsuit over pay practices

Iowa City-based University of Iowa Hospitals and Clinics faces a lawsuit over how it pays employees for overtime work, The Gazette reports.

The lawsuit was filed by two nurses and one physical therapist, but seeks class-action status on behalf of providers who worked at UIHC in the last two years, or since the employee union lost collective bargaining rights, according to the report.

The suit alleges UIHC does not pay out wage adjustments for overtime work until one to two months after the fact. It seeks to end this practice and seeks "liquidated damages for the untimely payment of wages," plus legal fees, cost and interest, according to the report.

UIHC told The Gazette its payment practices are not illegal. The health system said it calculates overtime every six weeks and adds the payment adjustments on the next available paycheck, according to the report.

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