A Indiana nonprofit for veterans dealing with housing insecurity is being ordered to pay nearly $90,000 to caregivers after a U.S. Department of Labor investigation after it found the organization violated a new minimum wage requirement for federal contractors.
The Journey Home in Winchester – just east of Muncie – provides temporary housing assistance and services to veterans who are homeless.
Because it receives some federal funding from the Department of Veterans Affairs, it has to follow federal pay guidelines.
Join the conversation and sign up for the Indiana Two-Way. Text "Indiana" to 73224. Your comments and questions in response to our weekly text help us find the answers you need on statewide issues.
But when the minimum hourly rate was increased to $11.25 an hour with an executive order in September, the nonprofit didn’t follow suit for 19 caregivers. It also failed to compensate some employees correctly for holidays and vacations.
Following the investigation, the labor department ordered The Journey Home to pay those employees restitution.
Contact reporter Justin at jhicks@wvpe.org or follow him on Twitter at @Hicks_JustinM.
