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Southern California Hospitals Fined For Bouncing Payroll Checks

Pacific Health Corporation, the parent company of Los Angeles Metropolitan Medical Center, Tustin Hospital, Newport Specialty Hospital, Bellflower Medical Center and Anaheim General Hospital were fined $7 million following an investigation into allegations that they had failed to pay employee wages and bounced payroll checks.

“Employers have an obligation to pay workers the wages they’ve earned,” said Christine Baker, director of the California Department of Industrial Relations. “Forcing employees to wait for payment or depriving them of promised benefits are illegal acts and cause unacceptable hardship.”

California Labor Commissioner Julie A. Su said her department began an investigation of Pacific Health after receiving a tip from an anonymous caller claiming that Bellflower Medical Center had bounced several payroll checks.  A subsequent probe revealed that Pacific Health was also deducting premiums for benefits from employees’ paychecks but not passing the funds along to insurance providers.

If your employer has bounced your payroll checks and/or owes you back wages, please give my office, The Law Offices of Todd M. Friedman a call at 877-449-8898 for a free consultation.