Home care in California is being driven by the aging of the baby boom generation! The share of older adults is anticipated to increase by 100% by 2030. As a result, the demand for home care services will continue to rise, and many agencies will be needed to meet the growing future demand.
California Home care providers are and will be even more highly regulated by the state soon. While these stringent laws provide seniors with peace of mind, they leave the home care businesses with several unanswered questions regarding:
- State Quality Measures
- Wage Structures
- Caregiver Overtime
- Right Acts, etc.
We’ve compiled a list of the most frequently asked questions that you might have regarding home care in California. Hopefully, this guide answers your concerns.
7 FAQs Regarding Home Care in California!
1. Who pays for home care in California?
There are multiple payer options in California:
- Private pay (out of pocket)
- Long-term Care Insurance
- Veterans Administration
- In-Home Supportive Services
- Regional Centers
- Workers’ Compensation
- Managed Care
- Medigap Insurance
2. What are some state quality measures for California-based Home Care Organizations?
- Comply with OSHA standards.
- Comply with applicable laws regulations, and wage orders.
- State business license.
- State licensure is required.
3. What is the Minimum Wage structure in California?
Beginning January 1, 2022, California increased the state minimum wage to $14.00 per hour for employers with 25 or fewer employees and $15.00 per hour for employers with 26 or more employees. However, please also check whether your local city or county enforces a higher minimum wage.
4. How much should caregivers be paid for Overtime in California?
Beyond the minimum wage, overtime pay is due for domestic caregivers who work longer hours:
- 40+ regular hours a workweek: a caregiver is entitled to overtime for the 41st hour and beyond, paid at “time and a half.”
- 9+ regular hours in a workday in a private home: a caregiver is also entitled to overtime, for the 10th hour and beyond, paid at “time and a half.”
- 8+ regular hours in a workday in a facility: a caregiver is also entitled to overtime, for the 9th hour and beyond, paid at “time and a half.”
- For seven full days of straight work within a workweek, caregivers are entitled to “double-time.” Hours beyond 12 in a workday are also paid as “double-time.”
5. What is the California Family Rights Act (CFRA)?
Employers with five or more employees must provide up to 12 weeks of leave in 12 months to employees who have worked for at least a year under the California Family Rights Act (CFRA). Caring for family members with serious health conditions is one of the reasons for the break.
6. Is Wage Theft a punishable offense?
It is a felony for an employer to intentionally fail to pay wages, including tips, in an amount larger than $950 to one employee or $2,350 to two or more employees in 12 months. Wage theft is currently penalized as a misdemeanor with a maximum sentence of one year in a county jail or as a felony with a maximum sentence of three years in county jail. Note that California requires that an employee be paid if there is reasonable knowledge that they worked; it does not require an actual timecard. You also cannot withhold payroll if the employee owes any other requirements.
7. Why is California facing a shortage of caregivers?
According to the Paraprofessional Healthcare Institute (PHI), caregiver shortage is caused due to various reasons:
- An increase in demand from consumers.
- Career changes or people leaving the workforce.
- The constant need for certifications, training, and re-training.
- Lower wages. As an example, Amazon Fulfillment Centers start at $18/hr. with a $3000 signing bonus and up to $3/hr. extra for night/weekend shifts.
This is where you as an agency can step in and utilize home care management software for Caregiver Training and Retention to avoid a situation of crisis!
Have more questions? Download the following eBook to learn about:
- Home care laws and regulations in California
- Challenges faced by California based home care agencies
- How a home care management solution can help overcome these challenges
- More home care FAQs
Related blog posts:Home Care Laws and Regulations in California
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