The National Labor Relations Board has filed a complaint against Cincinnati-based CommuniCare, a post-acute care network, for allegedly attempting to enforce stay-or-pay employment agreements.
The complaint, filed Nov. 5, alleges that CommuniCare employed and sponsored residency for foreign nationals in 2020. The company allegedly paid for relocation assistance with the understanding that the employees would repay the costs if their employment was terminated, according to a Nov. 7 news release from the NLRB.
Five employees worked for CommuniCare for one to four months before resigning due to training, safety and staffing concerns. Only one of the five employees was able to successfully repay the relocation costs at the time. In 2022, CommuniCare filed lawsuits against each employee alleging breach of contract and fraud, according to the release.
The NLRB’s Region 9-Cincinnati regional director said stay-or-pay agreements are "unlawful," do not advance a legitimate business interest and instead force employees to remain employed against their will, the release said.
Becker's has reached out to CommuniCare for comment and will update this story if more information is received.
A hearing before an NLRB Administrative Law Judge has been scheduled for Feb. 10.