Washington DSHS provider wages $116M class action settlement

The Washington Department of Social and Health Services (DSHS) agreed to pay $116 million under a state wage lawsuit settlement benefiting any individual provider (or IP) whose paid care hours were reduced.

The settlement benefits individual providers who were contracted with the Washington DSHS to provide personal care services for a client whose in-home care hours were reduced by the DSHS after the client was coded to have a “shared benefit” status through a Comprehensive Assessment Reporting Evaluation, or CARE, assessment.

The Washington DSHS is responsible for a number of services, including housing assistance, child support, youth services, mental health services, disability support and medical support. The department has several subdivisions that help support these services.

According to a class action lawsuit from providers, the Washington DSHS failed to properly pay the wages owed to providers from March 2014 to February 2021. The DSHS allegedly reduced the number of care hours it paid to individual providers because the providers shared care duties with a client or multiple clients in the same household. 

The plaintiffs contend the DSHS refused to pay providers for tasks such as making meals, shopping, housework or supplying wood, despite providers performing that work.

“As a result of DSHS applying its shared benefit rules, policies, and procedures, Plaintiffs and similarly situated IPs performed compensable work for which they were not paid,” the class action lawsuit against the Washington DSHS contends.

The wage-and-hour class action lawsuit claims the DSHS violated Washington labor laws by failing to properly compensate providers for the work they performed. The complaint included claims under Washington’s Minimum Wage Act and Wage Rebate Act.

The Washington DSHS hasn’t admitted any wrongdoing but agreed to resolve these claims with a $116 million class action settlement.

Under the terms of the settlement, providers will receive a share of the settlement fund based on the amount of work they performed without compensation. Class members who have the highest number of uncompensated hours will receive the largest share of the settlement fund. 

Payment estimates are not available.

The deadline to request exclusion from the Washington DSHS is July 22, 2022. If class members do not opt out of the settlement, they will lose their legal rights to take legal action against the DSHS in the future. 

The deadline for objection is July 22, 2022. 

The final approval hearing for the IP wage settlement is scheduled for Sept. 16, 2022.

Affected providers do not need to file a claim form in order to benefit from the individual provider Washington state pay settlement. Class members who do not opt out of the settlement will automatically receive a check in the mail.

Who’s Eligible

The settlement benefits individual providers who were contracted with the Washington DSHS to provide personal care services for a client whose in-home care hours were reduced by the DSHS after the client was coded to have a “shared benefit” status through a Comprehensive Assessment Reporting Evaluation, or CARE, assessment.

Potential Award

Varies

Proof of Purchase

No proof of purchase applicable

Objection Deadline

07/22/2022

Case Name

Liang, et al. v. State of Washington Dep’t of Social & Health Services (DSHS), et al., Case No. 20-2-02506-34, in the Washington Superior Court for Thurston County

Final Hearing

09/16/2022

Settlement Website

IPWageSettlement.com

Claims Administrator

Liang v. State of WA DSHS: IP Wage Settlement
c/o JND Legal Administration
PO Box 91373
Seattle, WA 98111
888-964-0102

Class Counsel

Jennifer Robbins
Darin M Dalmat
Sarah Derry
BARNARD IGLITZIN & LAVITT LLP

Defense Counsel

William McGinty
Dan Judge
Margaret McLean
Sara L Wilmot
ATTORNEY GENERAL’S OFFICE