Home Care Aide

HOME CARE AIDE UPDATE

Quarterly Release: October 2019

REGULATORY ACTIONS
CAHSAH continues to work closely with the Department of Social Services, Home Care Services Bureau, on the implementation of the home care licensure program.

US Department of Labor’s Overtime Rule Sets New Thresholds
The United States Department of Labor announced a final rule to make 1.3 million American workers eligible for overtime pay under the Fair Labor Standards Act (FLSA). This final rule will be effective on January 1, 2020.

The final rule updates the earning thresholds necessary to exempt executive, administrative, or professional employees form the FLSA’s minimum wage and overtime pay requirements and allows employers to count a portion of certain bonuses and/or commissions toward meeting the salary level. The new thresholds account for growth in employee earnings since the current thresholds were set in 2004.

According to this final rule, the Department of Labor will:

  • raise the “standard salary level” from the currently enforced level of $455 to $684 per week (equivalent to $35,568 per year for a full-year worker);
  • raise the total annual compensation level for “highly compensated employees (HCE)” from the currently enforced level of $100,000 to $107,432 per year;
  • allow employers to use nondiscretionary bonuses and incentive payments (including commissions) that are paid at least annually to satisfy up to 10 percent of the standard salary level, in recognition of evolving pay practices; and
  • revise the special salary levels for workers in U.S. territories and in the motion picture industry.

Comments on the rule in response to the Department’s 2017 Request for Information and the Notice of Proposed Rulemaking were virtually unanimous that the thresholds required an update due to wage and salary growth since 2004.

CAHSAH Advises Usage of June 2019 Home Care Aide Application Only
For implementation of the provisions on AB 2455, the Department of Social Services, Home Care Services Bureau, has created a new home care aide application which can be found on the Bureau’s website. The application is dated June 2019, which is specified in the lower left corner of the form. The application was revised to include the AB 2455 opt-out question for home care aides. If an aide uses an older application, they will be considered to have opted in for disclosure of their information because they did not opt-out on their application. Because this is a choice the aide must make, you must give them the opportunity to opt-out by using the new form which includes the opt-out question. CAHSAH strongly advises that you discard any old forms that you may still be using.

LEGAL ACTIONS
CAHSAH Joins HCAOA in Lawsuit Challenging AB 2455 CAHSAH is pleased to report that we have joined the Home Care Association of America (HCAOA) as a named plaintiff in a federal lawsuit challenging the constitutionality of AB 2455, the recently enacted statute providing labor unions with the contact information of home care aides registered with the Department of Social Services Home Care Services Bureau. This lawsuit has been filed with the United States District Court for the Eastern District of California.

This joint legal advocacy with HCAOA challenging AB 2455 presents a united front for our industry on this critical issue and sends an important message that we will continue to work tirelessly on behalf of home care aide agencies in California and across the nation.

Should you be interested in supporting this legal advocacy financially, please contribute to CAHSAH’s Legal Defense Fund and note in the memo section of your check that your contribution is designated for the “AB 2455 lawsuit.” All funds received for this purpose will be applied to this effort.

Questions regarding this alert may be directed to CAHSAH’s Policy Director, Braden Oparowski, at (916) 641-5795, extension 123 or at boparowski@cahsah.org.

STATE LEGISLATION
The California Legislature is currently adjourned for this year and will resume the 2019-2020 legislative session in January of 2020. For a complete list of new laws that pertain to home care providers, please visit the Policy page on CAHSAH’s website.

 California Association for Health Services at Home
 3780 Rosin Court, Suite 190 | Sacramento, CA 95834
 Phone 916.641.5795 | Fax: 916.641.5881

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