Home Care Workers Rally For $21m In State Funding To Boost Wages, Secure Paid Overtime

Home care workers and union advocates took to the steps of the Pennsylvania State Capitol on Monday to push lawmakers to pass a state budget that includes major investments into the care workforce. The rally was in response to a 70-day budget impasse.

The budget comes with a proposed $21 million investment into the consumer-directed home care workforce. The funding would increase caregivers’ hourly wages to a minimum of $15. It would also give caregivers access to paid time off.

“$21 million is not just the right thing to do,” Dwayne Heisler, campaign director at the Pennsylvania Policy Center, said while speaking at the rally. “It’s the smart thing to do, and in the scope of the state budget, it’s a tiny thing to do. Pennsylvania’s budget this year is projected to be about $50 billion … for home care workers, and families who depend on them, such funding would be life changing.”

Currently, some caregivers in the state are struggling to make ends meet.

“We have caregivers who are unable to get to and from work or cover rent at that price,” Hillary Benishrothrock, a home care worker who attended the rally, told Fox 43. “But we are the most effective and efficient means of providing care to our elders and vulnerable populations in Pennsylvania.”

Pennsylvania has long faced issues around caregiver wages. The state’s home care Medicaid reimbursement rate is $20.63 per hour. On average, home care workers’ hourly wages range from $14 to $18, according to the Pennsylvania Homecare Association, while neighboring states pay 25% to 75% more

The organization’s report also found that over 112,500 home care shifts go unfilled every month in the state.

“Pennsylvania must make major investments in the state budget to raise reimbursement rates for direct care workers and protect access to critical home care services for the aging and disabled populations in the state,” Mia Haney, CEO of Pennsylvania Homecare Association, said in a statement in April.

On a national level, caregivers often face similar wage challenges. In 2023, home care workers were earning $16.13 per hour, according to PHI data.

For now, it remains to be seen whether the $21 million proposal impacting caregivers will make it into the budget.

Home care workers’ protections are a concern at the national level. In July, the U.S. Department of Labor (DOL) proposed reinstating the companionship exemption, which makes home care workers exempt from federal minimum wage and overtime rules.

The home care industry is somewhat divided in its reaction to the companionship exemption. While the Home Care Association of America (HCAOA) has advocated for the exemption, and some providers have said that it is “amazing news for the industry,” others have spoken out against it.

LeadingAge, the association of nonprofit providers of aging services, including home health, has urged the DOL to withdraw the proposed rule.

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