Advanced Care Staffing, an employment agency operating in Recent York, Connecticut and Recent Jersey, was sued by the Department of Labor (DOL), The informant reported.
The suit, which was filed on March 20, alleges that Advanced Care forced employees into contracts that required them to work for no less than three years or pay back their wages. And, the lawsuit adds, Advanced Care forced employees to pay back their wages plus legal fees in the event that they didn’t.
It was made within the eastern borough of Recent York.
“Under this scheme, the wages that ACS guarantees its employees might be converted into nothing greater than a loan that employees must repay with interest and costs,” the lawsuit said.
Within the lawsuit, DOL said one worker was asked to return wages, which was greater than he ever earned on the company, to cover fees Advanced Care called “future profits,” according to DOL.
Firms cannot, “employees as insurance, unconditionally guarantee a future stream of profits for the employer,” the lawsuit noted.
Advanced Care didn’t respond immediately entrepreneurs comment request.
But David N. Kelley, whom the company represents within the case, told Insider that the claims “aren’t supported by either facts or law.”
Kelley said the company secured contracts for non-U.S. nurses to come to the country and work, and covered things like immigration and housing costs, with the contract providing for employees to stay in Advanced Care for three years.
“To be clear, ACS has never claimed – and no nurse has ever returned – her earned ACS earnings,” Kelley added.
Kelley is (*3*)advocate at Dechert with experience in high-powered litigation with regulators, according to his company biography.