Basham v. Tailored Living Choices, LLC

District Court, N.D. California·Decided February 16, 2024·No. 4:23-cv-02678·Unknown

Opinion

GENEVIEVE BASHAM, et al., Case No. 23-cv-02678-DMR

Plaintiffs, ORDER ON MOTION FOR v. CONDITIONAL CERTIFICATION OF A COLLECTIVE ACTION Re: Dkt. No. 20 Defendant.

Plaintiffs Genevieve Basham, Jennifer Raper, and George Pepper, on behalf of themselves and all others similarly situated, bring this wage and hour action against their current and former employer, Tailored Living Choices, LLC. Plaintiffs move for conditional certification of a collective action under the Fair Labor Standards Act (“FLSA”). [Docket Nos. 20, 34.] The court held a hearing on February 8, 2024. For the following reasons, the motion is granted in part.1 A. Allegations in the Third Amended Complaint Defendant is a California company that “provides customized care and services for individuals with developmental and mental health disabilities.” [Docket No. 25 (Third Amended Complaint, “TAC”) ¶¶ 16, 17.] Plaintiffs Raper and Pepper work for Defendant as Instructional Assistants (“IA”). Plaintiff Basham worked for Defendant as an IA until June 2022. Id. at ¶¶ 9, 11, 13. The primary duties of IAs “include helping clients get dressed and undressed, as well as tending to clients’ bathing, toileting, and oral hygiene, helping clients eat by cutting food into bite- sized pieces and monitoring their meals to mitigate choking risks.” Id. at ¶ 44. Plaintiffs allege claims under the FLSA and state law, as set forth below.2 With respect to the FLSA claims, Plaintiffs allege that Defendant failed to properly compensate Plaintiffs and other similarly situated employees for all hours worked and failed to pay proper overtime wages. See id. at ¶ 44. Specifically, Plaintiffs Raper, Pepper, and other similarly situated employees “were not compensated for all hours worked while driving to different clients’ houses within the same workday” because they were required to “clock out, drive to another client’s house and clock back in.” Defendant also did not count travel time towards the total hours worked for purposes of calculating and paying overtime. Id. at ¶¶ 49, 55, 179, 185. Plaintiffs allege that Defendant also had a practice, procedure, and/or policy under which it reduced Plaintiffs and other similarly situated employees’ pay for sleep time hours, resulting in inadequate minimum wages. Specifically, Defendant reduced Plaintiffs and other similarly situated employees’ hourly pay by at least $1.00 for eight hours of sleep time for shifts longer than 24 hours “without a valid agreement.” Id. at ¶¶ 50, 51. Even if there was a valid agreement, Defendants did not provide adequate sleeping facilities and Plaintiffs and other similarly situated employees were forced to sleep on couches. Id. at ¶ 52. Additionally, Plaintiffs were interrupted during the night once a week to assist their clients’ needs. Id. at ¶ 53. Defendant also maintained a practice of failing to count overnight hours and IHSS hours3 towards Plaintiffs and other similarly situated employees’ total hours worked for the purpose of calculating and paying overtime. As a result, Plaintiffs and other similarly situated employees did not receive all overtime wages despite working more than 40 hours in a workweek. Id. at ¶¶ 54, 57, 179, 185.4 2 Plaintiffs’ motion for class certification must be filed by July 1, 2024. [See Docket No. 14.]

3 Plaintiffs reference “IHSS hours” in their motion and the TAC but do not define the term or otherwise explain it. In its opposition, Defendant explains that it hires IAs to provide Supported Living Services (“SLS”) to adults with developmental and mental health disabilities in their private homes. Opp’n 1-2 (citing Chakrabarti Decl. Nov. 17, 2024, ¶ 2). IAs provide both SLS and In Home Supportive Services (“IHSS”) to clients. IAs who perform IHSS work are paid directly by “the local county public authority,” with Defendant “paying overtime premiums if the IHHS work results in overtime under the FLSA when considering the combination of SLS and IHSS hours.” According to Defendant, the county pays overtime premiums to IAs when their IHSS hours alone are greater than 40 in one workweek. See Chakrabarty Decl. ¶¶ 3, 4. B. Procedural History Plaintiffs Basham and Raper filed this action in state court in December 2021. [Docket No. 1 (Notice of Removal, “NOR”) ¶ 1.] After Plaintiffs filed an amended complaint, Defendant removed the case to this court in May 2023. Id. at ¶ 3. Plaintiffs filed a second amended complaint by stipulation in September 2023 and subsequently filed the instant motion for conditional certification of a collective action. They filed the TAC, which is the operative complaint, by stipulation in November 2023. The TAC alleges the following claims: 1) failure to pay minimum and regular wages in violation of California Labor Code sections 1194, 1197, and 1198; 2) failure to indemnify all necessary expenditures in violation of California Labor Code section 2802; 3) failure to maintain accurate records in violation of California Labor Code sections 1174 and 1174.5; 4) failure to provide accurate itemized wage statements in violation of California Labor Code sections 226 and 1198; 5) failure to timely pay all wages due upon separation of employment in violation of California Labor Code sections 201, 202, and 203; 6) violation of California Business and Professions Code section 17200 et seq.; 7) violation of the Private Attorneys General Act of 2004, California Labor Code section 2698 et seq.; 8) failure to pay minimum wages in violation of the FLSA, 29 U.S.C. §§ 201 et seq.; 9) failure to pay overtime compensation in violation of the FLSA, 29 U.S.C. §§ 207, 211 and 216(b). Plaintiffs bring the FLSA claims (claims nine and ten) on behalf of the following proposed collective: All current and former non-exempt employees who worked for Defendants in the State of California in the position of Instructional Assistant at any time from June 29, 2017 through the present. TAC ¶ 94. They also seek to represent the following subclass collectives:

The Minimum Wage Subclass All members of the FLSA Collective who were not paid at least minimum wage for all hours worked or time spent under the control of Defendants, individually and/or collectively, at any time from June

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Basham v. Tailored Living Choices, LLC, (N.D. Cal. 2024).

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