Tenet Healthcare Employees Denied Overtime Receive $85M Worth of Checks

September 11, 2009

An estimated 23,000 current and former Tenet Healthcare employees who were denied extra pay for overtime rendered were sent checks ranging from $150 to $30,000 as part of the $85 million class action settlement.

Tenet Healthcare, who owns three Orange County hospitals, was sued after it lowered the hourly pay rate of its employees who worked for more than eight hours a day in order to avoid paying the overtime required by a new California law.

The Texas-based company, who at the time of the lawsuit was the largest hospital owner in the United States, despite its agreement to pay $85 million in settlement has not admitted to any wrong doing.

Don Pagaduan, who was a respiratory therapist at Fountain Valley Regional, initiated the class action lawsuit against Tenet Healthcare. He received $5,000 in back wages as well as $75,000 for being the lead plaintiff in the case.

Pagaduan, who is now working in Saddleback Memorial Medical Center has said that all the checks were sent out and some employees have reportedly received their due wages.