Home Health Nurses Beware: Docking PTO for Missing Productivity Targets is Legal

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Specializes in Vents, Telemetry, Home Care, Home infusion.

I've worked in home health agencies since 1985 from start-ups to a multi-state agency. Since 2015, heavy focus is on productivity as underpins agency financial health.  In the Philly area,  weekly full-time employees productivity = 30 points.  At my last position,  Managers reviewed biweekly each staffers productivity, documented to Finance Director any justification for not meeting goal (FMLA,  vacation, PTO, court,  patient census down, etc).  Productivity  if less than 27 points without good reason, staff could use PTO to make up pay, rarely used.  Every month, productivity reviewed with staffer, counseled if issue.  Since agency had scheduling department, expectation that staff would call in to get another assignment or reschedule visit date.

20 years ago, I was temporarily reassigned to central Philadelphia office: arrived 9AM given 6 patients names, called to setup visit times:3 refused, 3 no answers after multiple calls. 11AM given 6 more names, only 1 client permitted visit --left office 12:30 PM for 1 1/2hr drive. Saw client, called in field-able to pick up just 1 more client.  So can see this being an issue when not case managing who's clients know you and want visits. Patient visit refusal was up mid 2018, last year FT work, worsen post Covid era from my friends still in home care.

Philadelphia Inquirer 3/16/22

Docking PTO for missing productivity targets is legal under labor law, court says in Bayada case

After home health-care workers sued in central Pennsylvania, the appeals court said subtracting paid time off is not equivalent to reducing a worker's salary.

Quote

...Each worker had a predetermined number of "productivity points" they were required to meet each week, which were awarded for completing specific work tasks, the court opinion said. One point was roughly equal to 1.33 hours of work — a routine patient visit, for example, earned one point. Employees earned additional pay if they exceeded the minimum points required for their salary level, but Bayada would subtract from their PTO allowance if they came up short on productivity points.....

The health-care workers had argued that PTO was part of their salary, and taking it away for failing to meet productivity minimums was a violation of the federal Fair Labor Standards Act (FLSA).

This case marked the first time this appeals court had considered that argument, and it sided with the employer.

The FLSA doesn't define salary, the judges wrote, but "there nevertheless appears to be a clear distinction between salary and fringe benefits like PTO. Even if time off has monetary value and employees are able to someday convert unused PTO to cash, it's still not part of a worker's salary, the opinion said.

Bayada, based in Moorestown, Burlington County, provides home health-care services in 23 states and employs about 28,000 people.

Specializes in Critical Care, ER and Administration.

The first time my PTO was docked would be my last hour worked for that agency.

Only in America. ?

Agree with @JohnHood.

Do it once. You won't get a second chance.

Good to know the name of the business too - now I can avoid it like the plague.

 

Specializes in Mental Health, Gerontology, Palliative.

America needs better employment laws. 

Specifically laws that protect the rights of the employees as opposed to massive corporations. 

Not a home health nurse, but as a hospital employee my PTO accrual rate has always been associated with my FTE status.  If I work less than my required hours, my PTO accrual would be reduced proportionally. 

How is this different?

Specializes in Mental Health, Gerontology, Palliative.
chare said:

Not a home health nurse, but as a hospital employee my PTO accrual rate has always been associated with my FTE status.  If I work less than my required hours, my PTO accrual would be reduced proportionally. 

How is this different?

If someone determines that you havent met a set of predetermined set of guidelines they will take away your PTO, even if you are working your normal rostered hours

In other words they are stealing from you and a court as deemed that is legal. 

I was unable to get around the paywall on the article posted in the OP, but did find the following.

Employer can dock PTO for productivity shortfalls

FLSA permits employers to dock PTO for productivity shortfalls, 3rd Cir. says

Docking PTO Is Legal When Employees Miss Productivity Quotas, Third Circuit Rules

ETA: I did find in interesting that while Bayada was docking PTO for those that failed to meet productivity they did not dock the employee's salary.

Specializes in Mental Health, Gerontology, Palliative.
chare said:

I was unable to get around the paywall on the article posted in the OP, but did find the following.

Employer can dock PTO for productivity shortfalls

FLSA permits employers to dock PTO for productivity shortfalls, 3rd Cir. says

Docking PTO Is Legal When Employees Miss Productivity Quotas, Third Circuit Rules

ETA: I did find in interesting that while Bayada was docking PTO for those that failed to meet productivity they did not dock the employee's salary.

If they are docking the employees PTO they are taking money from the employee

Do you think this is acceptable?

Something to consider coming from the IT world is - they wouldn't dream of docking PTO for IT workers - primarily because their employees would leave en masse the first time it happened. I have actually NEVER heard of PTO being reduced because some metric was missed. When you are hired, you are allotted your PTO from Day One. Now, a bonus might not materialize - but that's something that's never guaranteed. PTO, on the other hand, is considered part of your contract and is not reducible based on your performance.

Honestly, shaking my head at what some nurses think is normal workplace employment practice. Reducing PTO is NOT normal corporate practice - with companies that care about keeping their employees. Why do nurses put with this nonsense?

Idealista said:

Something to consider coming from the IT world is - they wouldn't dream of docking PTO for IT workers - primarily because their employees would leave en masse the first time it happened. ...

[...]

Assuming one is a full time (1.0 FTE) employee.  Assuming they work their scheduled 80 hours  and earn 8 PTO hours for the 2 week pay period.  

What happens if they only work 30 hours one week, for a total of 70 hours for the pay period?

Most professionals do not punch time clocks. It is expected that hours will vary over time. PTO is allotted in a time-block at the beginning of the year. If someone takes PTO and only works 70 hours one pay period - it is irrelevant. What counts is the number of days taken each year based on how much PTO time their contract gives them. My last job I had 6 weeks vacation, 12 holidays and sick time wasn't tracked unless it was a period of several weeks. The assumption is that a professional will behave in a professional work manner and can be trusted to manage their time. Clocking hours formally (with time cards) is seen as indicative of an employer who does not trust their employees and must, therefore, micromanage them. 

Idealista said:

Something to consider coming from the IT world is - they wouldn't dream of docking PTO for IT workers - primarily because their employees would leave en masse the first time it happened. I have actually NEVER heard of PTO being reduced because some metric was missed. When you are hired, you are allotted your PTO from Day One. Now, a bonus might not materialize - but that's something that's never guaranteed. PTO, on the other hand, is considered part of your contract and is not reducible based on your performance.

Honestly, shaking my head at what some nurses think is normal workplace employment practice. Reducing PTO is NOT normal corporate practice - with companies that care about keeping their employees. Why do nurses put up with this nonsense?

 

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