Wage Theft in Care Work: What Texas Case Managers and Home Health Workers Need to Know

Are you a Texas case manager or home health worker logging unpaid hours? Why the recent Wisconsin ruling matters

Wage theft in healthcare often hides in plain sight: short charting sessions after a visit, unpaid travel between clients, mandatory trainings done off the clock. A federal court’s late-2025 ruling forcing a Wisconsin health partnership to pay $162,486 in back wages and liquidated damages to 68 case managers shows federal investigators and courts are willing to enforce overtime and record-keeping rules. If you work in Texas healthcare — as a case manager, home health aide, or other frontline care worker — this ruling is a wake-up call: you may have rights to back wages and damages, and there are concrete steps you can take now.

Quick takeaways (read first)

• The Wisconsin case (entered Dec. 4, 2025) resulted from a U.S. Department of Labor Wage and Hour Division (WHD) investigation that found unrecorded off-the-clock hours and overtime violations for case managers.
• Why it matters in Texas: Texas relies on federal overtime rules (the Fair Labor Standards Act, or FLSA). The same recordkeeping and overtime rules apply to Texas healthcare employers and workers.
• What to do now: Start tracking time, preserve evidence, seek confidential advice from DOL WHD or qualified legal aid, and consider filing a WHD complaint or private FLSA claim.

What happened in Wisconsin — and what it signals for 2026 enforcement

In a case brought after a Department of Labor Wage and Hour Division investigation, North Central Community Services Program and Affiliates (doing business as North Central Health Care) agreed to a consent judgment that requires payment of $81,243 in back wages and an equal amount in liquidated damages to 68 case managers. The violation centered on failures to record and pay for hours worked outside scheduled shifts — including overtime — between June 17, 2021 and June 16, 2023.

“Employers must maintain accurate records and compensate nonexempt employees for all hours worked, including overtime,” — summary of the WHD findings.

This ruling reflects several 2024–2026 trends: expanded DOL scrutiny of healthcare and long-term-care employers, increased use of electronic visit verification (EVV) and other digital records as evidence, and tougher civil enforcement that includes liquidated damages and back wages. For Texas workers, the lesson is clear: unrecorded time is recoverable, but only if you can document it and act within legal deadlines.

FLSA basics that every Texas care worker should know (short and practical)

• Overtime pay: Nonexempt employees must be paid 1.5× their regular rate for hours worked over 40 in a workweek.
• Recordkeeping: Employers must keep accurate time records; failing to do so does not absolve them of liability.
• Statute of limitations: Under the FLSA you generally have 2 years to sue for unpaid wages — 3 years if the employer’s violation was willful.
• Liquidated damages: In many FLSA cases workers can recover back wages plus an equal amount in liquidated damages, effectively doubling the award unless the employer proves good faith.
• Retaliation is illegal: Employers may not retaliate against employees who file complaints with the DOL or exercise their rights.

How wage theft commonly shows up in Texas healthcare settings

Healthcare work has several features that create wage-and-hour risk:

• Off-the-clock documentation: Charting after visits or at home often goes unpaid because employers require completion but don’t record the time.
• Travel between clients: Time spent traveling from one patient to another during the workday can be compensable, especially for home health aides and visiting nurses.
• Training and meetings: Mandatory trainings, staff meetings, or briefings outside scheduled hours should be paid.
• On-call or “sleep” time: Misclassification of on-call time or overnight shifts can result in unpaid compensable hours.
• Piece-rate or per-visit pay: Calculating overtime on flat per-visit pay requires computing the regular rate properly — mistakes are common.

Concrete steps Texas workers should take right now (document, preserve, act)

1. Start documenting your time instantly

Begin keeping a contemporaneous time log today. Use your phone to timestamp start and end times for every shift, travel segment, and work-related task such as charting, training, or telephone calls with supervisors. Include:

• Date and start/end times
• Client or office location
• Type of work (visit, charting, travel, training)
• Any proof (EVV app screenshots, GPS logs, text messages, emails)

2. Preserve pay stubs and communications

Keep all pay stubs, scheduling texts, emails, and timesheets. Take screenshots of employer time submission systems, even if the system shows fewer hours than you worked. Copies of work schedules and proof of attendance at trainings or meetings are strong evidence.

3. Collect witness statements

Ask coworkers, supervisors, or clients who witnessed off-the-clock work to provide written statements. These can be brief notes with dates and descriptions of what they saw. Treat these like field notes — short, dated, and factual.

4. Use technology to your advantage

EVV records, GPS timestamps, and calendar entries can corroborate claims. Because many Medicaid-funded services now use EVV under federal rules, those logs make powerful evidence when they exist.

How to pursue a claim: DOL WHD complaint vs. private lawsuit

When you believe you are owed back wages, you generally have two routes:

DOL Wage and Hour Division (WHD) complaint

• Free to file, confidential, and handled by federal investigators.
• WHD can investigate, obtain back pay and liquidated damages, and negotiate consent judgments (as in the Wisconsin case).
• Processing times vary, but WHD investigations are often recommended for groups of workers or when government enforcement is likely.

Private FLSA lawsuit

• You can file a civil suit in federal court for unpaid wages and liquidated damages; a lawyer can pursue individual or collective actions.
• Private suits can sometimes yield greater control and speed but may involve attorneys’ fees (recoverable to prevailing plaintiffs) and litigation risk.
• Statute of limitations: generally 2 years, 3 years for willful violations.

How back-wage awards are calculated — a simple example

Example: You are a nonexempt case manager earning $20/hour who worked an extra 5 unpaid hours each week for 52 weeks during the two-year period the employer failed to record time.

• Unpaid regular pay: 5 hours × $20 × 52 weeks = $5,200
• Unpaid overtime (assuming those extra hours pushed you over 40 in some weeks): Calculate overtime at 1.5× the regular rate for hours over 40. Suppose 2 of those 5 hours per week were overtime: 2 × $30 × 52 = $3,120
• Total back wages = $8,320
• Liquidated damages (possible) = equal amount → additional $8,320
• Potential total recovery = $16,640 (plus attorneys’ fees where applicable)

This simplified math shows how quickly unpaid hours multiply — and why preserving records matters.

Texas-specific resources and where to get help

If you live or work in Texas, these are the practical first stops:

• U.S. Department of Labor, Wage and Hour Division (WHD) — File a complaint online or call the local WHD office. WHD handles FLSA overtime and recordkeeping claims. (Find your local office at dol.gov/agencies/whd/contact/local-offices.)
• Legal aid and low-cost counsel: If you need a lawyer, contact Texas-based legal aid groups such as Lone Star Legal Aid, Texas RioGrande Legal Aid, and Legal Aid of NorthWest Texas. These organizations often handle wage claims or can refer you to experienced employment attorneys.
• Worker centers and unions: Community worker centers, labor unions like SEIU that represent healthcare workers, and local advocacy groups can help with documentation, outreach, and public pressure.
• Texas Payday Law questions: The Texas Workforce Commission and state legal aid clinics can help with state-level wage questions, but for overtime and FLSA claims the DOL WHD is the primary enforcer.

What employers should do — a short compliance checklist

If you supervise case managers or home health staff in Texas, use this checklist to reduce legal and financial risk:

• Train managers on FLSA overtime and recordkeeping rules and document the training.
• Implement accurate time capture (EVV where applicable, clock-in/out, or preapproved mobile time-tracking with GPS).
• Require employees to record all work time, including travel and post-visit charting; audit time records regularly.
• Review job duties and pay practices to confirm exempt/nonexempt classifications are correct.
• Address complaints promptly and avoid retaliation; use independent audits to spot problems early.

Trends and predictions for 2026 — what to expect

Late 2025 and early 2026 enforcement patterns indicate several things for Texas healthcare workers and employers:

• More targeted DOL enforcement in healthcare: Federal investigators have prioritized long-term care, home health, and community health workers — sectors with high risks for unrecorded time and overtime.
• EVV and digital records used as evidence: As EVV and mobile apps become more common, those records are increasingly subpoenaed or requested during audits. For workers, that means both an opportunity and a risk: EVV can prove unpaid time, but incomplete or altered logs may complicate claims.
• Greater public attention and litigation: High-profile settlements and consent judgments — like the Wisconsin case — encourage other workers and plaintiffs’ firms to bring collective claims.
• State-level policy conversations: Expect continued debate in Texas around home care funding, staffing, and wage transparency — all of which affect employer ability to comply with wage-and-hour laws.

Common questions we hear from Texas workers

Q: If my employer says I’m “exempt,” does that mean I can’t get overtime?

A: Not necessarily. Exempt status depends on job duties and salary level, not just the job title. Many case managers who spend most of their time on nonexempt tasks (routine client care, documentation, travel) are often misclassified. If you suspect misclassification, document duties and hours and seek a review.

Q: What if I’m worried about getting fired for filing a complaint?

A: Retaliation for exercising FLSA rights is illegal. Keep records of any adverse actions and report them to WHD. Legal aid organizations can advise you about whistleblower protections and represent you if retaliation occurs.

Q: How long will a DOL investigation take?

A: Timelines vary. Some WHD investigations are resolved in months; others take longer. If you file a private suit, that timeline depends on the court and whether the case is collective. Either way, start preserving evidence immediately.

Action plan checklist — 7 steps to protect your pay (printable)

1. Start a daily time log with timestamps for every work activity.
2. Save pay stubs, schedules, messages, and EVV/GPS screenshots.
3. Get written witness statements from coworkers or supervisors.
4. Contact DOL WHD to discuss a confidential complaint.
5. Reach out to local legal aid or an employment lawyer to evaluate a private claim.
6. Do not destroy or alter records; follow legal advice about confidentiality.
7. Speak discreetly with coworkers about collective claims — group complaints are often more effective.

Final word — you’re not alone, and action matters

The Wisconsin consent judgment is not just a Midwestern news item — it’s a practical warning and an opportunity for Texas care workers. The Department of Labor has tools to recover unpaid wages and liquidated damages. With EVV and digital records more common in 2026, the evidence you need may already exist.

If you believe you’ve been shortchanged for overtime or have questions about your classification, start by documenting your hours today. Then contact the U.S. Department of Labor Wage and Hour Division or a Texas legal aid organization for a confidential review. Even small, consistent losses of unpaid minutes add up to meaningful back wages — and the law provides a real path to recovery.

Call to action

If you work in Texas healthcare and suspect wage theft, don’t wait. Gather your pay stubs and time records, document unpaid hours, and file a complaint with the DOL WHD or connect with a Texas legal aid group for a free consultation. For updates on enforcement, worker resources, and local alerts, subscribe to texan.live’s labor-watch newsletter and get practical, local guidance delivered to your inbox.

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