U.S. Supreme Court rules home-care workers not covered under wage law
WASHINGTON: The U.S. Supreme Court ruled Monday that minimum wages and overtime payment rules do not apply to home-care workers employed by companies and other organizations.
The court in a unanimous verdict upheld the Fair Labor Standards Act of 1974, which exempts such workers hired by outside organizations to look after the old and infirm, and annulled an order by a New York federal appeals court, which had struck down the provision.
Justice Stephen Breyer, writing the unanimous judgment of the court, said the regulation does not exceed the labor department's rule-making authority. The judges rejected a contention by plaintiff, Evelyn Coke, who had sued her employer, Long Island Care at Home, for allegedly violating the law by refusing to pay her minimum wages and overtime compensation, that the department did not give proper notice and explanation while coming out with the legislation.
It is estimated that nearly 660,000 people work as aides to the old and infirm, whose number is around seven million in the country. More than 70 per cent of these workers are engages by agencies, including firms that make profit.
In the U.S., home care workers have an important role, as they help the elderly and sick people to be independent as far as possible. However, poor pay and lack of any other benefits have discouraged people from taking up this job as a vocation. These jobs are mostly taken up by women and minorities. According to the Bureau of Labor Statistics, the wages offered to them are among the lowest in the country.
Co-president of the National Women's Law Center Nancy Duff Campbell described the decision as another blow to struggling, low-wage women.
Some protagonists of the legislation say the ruling would save nearly $250 million for New York City alone under the personal care program it offers to residents.
Meanwhile, Senator Edward M. Kennedy, Massachusetts Democrat, who is chairman of the Senate health, education, labor and pensions committee, said he would move a bill to amend the Fair Labor Standards Act to include home aides under its purview.
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