Press Release
Filipino immigrant nurses targeted with coercive “stay or pay” contracts secure settlement with their former employers
NEW YORK, NY — Today, the Asian American Legal Defense and Education Fund (AALDEF) announced that they, along with co-counsel Murphy Anderson PLLC, have reached a settlement with four health care companies to rescind the “stay or pay” provisions in employment contracts for current and former employees, including three Filipino immigrant nurses who resigned citing unsafe working conditions. In May, the nurses filed charges with the National Labor Relations Board (NLRB), resulting in the settlement with Premier Members, LLC, a New York-based company with health care facilities in Pennsylvania, Priority Healthcare Group, LLC, a health care staffing company, the Gardens at West Shore, and the Gardens at Wyoming Valley. On Friday, the NLRB approved the settlement.
“I feel relieved that the settlement will enable immigrant nurses like me to leave onerous working conditions. Eliminating breach of contract fees gives us the freedom to seek better opportunities while ensuring we’re treated with the dignity and respect we deserve. This fosters a more inclusive and fairer workplace where nurses can focus more on providing quality care without the looming threat of financial penalties,” said Ms. Landazabal, one of the nurses who filed charges against Premier, her former employer.
In the settlement, Premier agreed to communicate to staff that illegal work rules have been rescinded and agreed to institute a training for managers and other staff who have any responsibility for nurses recruited outside the United States to ensure employment practices conform to the National Labor Relations Act.
”’Stay or pay’ contracts and other training repayment agreement provisions (TRAPs) are coercive tactics that employers use to take advantage of the vulnerable workers they recruit outside the country,” said Elizabeth Koo, Senior Counsel at AALDEF. “We will continue to fight for other immigrant nurses subjected to similarly poor working conditions and illegal contracts.”
“Stay or pay” provisions are repayment agreement provisions that penalize workers for leaving their jobs. Last year, five Filipino immigrant nurses filed charges with the NLRB against their former employer, CommuniCare Family of Companies, to challenge the company’s use of “stay or pay” provisions in the nurses’ employment contracts. These nurses similarly resigned from their jobs, citing intolerable working conditions.
“Immigrants are often too terrified to voice concerns even when facing unsafe working conditions. This settlement is proof that suffering in silence is not an option, but resisting is. We are fighting back, not just for our own, but also for those who cannot speak for themselves. Through this settlement, we could finally regain our dignity and be treated with respect,” said Ms. Docot, another nurse and former employee of Premier.
AALDEF’s efforts are supported by the American Federation of Teachers (AFT), the nation’s fastest growing nurses’ union, which works to ensure all nurses are protected and know their rights as workers.
“The AFT is proud of these incredible nurses for standing up and challenging these coercive and anti-worker practices,” said AFT President Randi Weingarten. “Healthcare companies should be focused on providing their employees with working conditions conducive to the delivery of high-quality care to patients, rather than trapping them in unfair, exploitative and illegal contracts. Justice for these workers is justice for the patients they serve every day.”
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For additional information, contact:
Stuart J. Sia
Communications Director
212.966.5932 x203
ssia@aaldef.org