NEWS ITEM

Ninth Circuit Affirms Preliminary Injunction Stopping Cuts to Home Care Workers' Wages

Rules Medicaid Act prohibits cutting wages without considering impact on access to quality care

March 3, 2010 - The Ninth Circuit Court of Appeals issued a unanimous, published decision today affirming a federal district court injunction that stops the State from reducing the wages paid to tens of thousands of In Home Supportive Services ("IHSS") workers in the State of California.

IHSS workers provide in-home care that enables elderly and disabled individuals to remain in their homes rather than being forced into institutional care settings. In early 2009, the California Legislature approved a measure that would have cut the wages of many IHSS workers by almost 20%, which would have forced many IHSS workers to leave their jobs and made it difficult for IHSS recipients to find reliable providers to fill those vacancies.

The district court enjoined the wage cut before it took effect. Click here for prior story. The Ninth Circuit decision holds that the Medicaid Act prohibits the state from cutting IHSS wages without first considering the impact upon IHSS recipients' access to quality care. The Ninth Circuit further held that irreparable harm would result without an injunction, that access to necessary health care outweighs state budgetary concerns, and that substantial evidence suggested that the cuts would cost more money than they would save in the long run.

Altshuler Berzon LLP represents IHSS consumers and labor unions with IHSS provider members in the lawsuit challenging the law cutting the State's contribution to IHSS provider wages and benefits.

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