Authorities in charge of investigating wage theft tend to avoid making generalizations about an entire industry. However, state and federal investigators have recently spoken out forcefully against what they say is a serious and growing problem for California workers: wage theft and other employee abuses at elderly care facilities.
It’s an industry that tends to employ workers who are poor and often illegal. That means they are more likely to be extorted and abused.
Case-in-point: Florinda Yambao. The 63-year-old woman owned numerous residential nursing homes throughout Contra Costa County. Last year, she was convicted of tax fraud, insurance fraud and theft. She had defrauded workers of hundreds of thousands of dollars in pay and then, the court ruled, committed tax fraud in order to cover it all up. She was placed on probation and ordered to pay $1 million in restitution to her victims. Continue reading