Bloomberg Law
March 20, 2023, 7:55 PM

DOL Sues Staffing Agency to Halt Contracts That ‘Trap’ Nurses

Bloomberg Law Automation
Bloomberg Law Automation

The US Department of Labor has filed suit against Advanced Care Staffing LLC and its CEO, Sam Klein, asking a federal court to prevent the company from making employees sign contracts that would force them to work for three years or repay earned wages, the DOL said Monday.

The Brooklyn, N.Y., company allegedly forced employees who left before their contracts expired into private arbitration, and required them to pay ACS future profits, attorneys’ fees, and arbitration costs, the DOL said.

Such demands allegedly led employees to be paid less than the federal minimum wage, which violated the Fair Labor ...

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