Service Employees International Union’s national pension fund is suing SavaSeniorCare for more than $260,000 in unpaid worker contributions, late fees and penalties.
In a 20-page filing submitted Monday in U.S. District Court for the District of Columbia, attorneys for the union’s fund argued that Sava and eight of its locations in Michigan and California have ignored previous written requests for payment.
Neither a phone nor an email seeking comment from Sava were returned on Monday.
SEIU argued that the payments were contractually required, including a 10% surcharge from the employer for 2010 because the plan was in “critical status” and in need of financial rehabilitation.
The alleged missing payments were unearthed through payroll audits of the years 2010-2011 and 2015-2016.
The union is seeking damages, arguing in its filing that the loss of earnings “endangered the eligibility of covered members’ pension benefits.”
“Defendants’ failure and refusal to comply with its obligations creates an atmosphere in the industry that encourages other employers to do the same,” the union argued.