Monday, August 20, 2012

Fair Pay Equals Better Caregivers

All California franchise home care agencies and many smaller outfits continue to pay their caregivers suppressed wages exempt from over-time pay, under the auspices of the companionship exemption within the federal Fair Labor Standards Act (FLSA). The FLSA was enacted to allow a family member, neighbor or friend to receive some compensation for their sacrifice as a primary caregiver while exempting the family from the associated costs and burden of an employer-employee relationship. The FLSA was never intended to act as a shield to reduce the wage expenses of a company already earning a premium on the labor they professionally provide, nor suppress the earnings of the caregivers they employ. The fact that so many home care agencies continue to use the FLSA to suppress wages has depressed the quality of care being provided by reducing our industry to one that attracts low-skilled, poorly educated, and less-trustworthy applicants. Why? Because those are the only people willing to work 18 hour days for $120. A pizza delivery job pays better but requires a car. Janitorial work is less abundant. The result is that a high net worth family invites a polished agency representative into their home and receives glossy papers, lots of promises and a nice smile. Over the course of the next two or three weeks the agency sends over their caregivers and among them are some very good and qualified representatives, but those are the ones that will move on to better paying jobs as they work to elevate their careers. So at some point in the first six months of the contract arrives someone more typical of a person willing to work for $6.50/hour (pre-tax). And you get what you pay for... Home Care Of La Jolla pays all caregivers overtime rates as per California labor laws. Our pay rates are consistently among the highest in the country. And Home Care Of La Jolla employees have an opportunity to elevate their careers within our company. The result is better service and security for our clientele.