INVESTIGATION: ACT Medical Group employees not getting paid
The NC Department of Labor is investigating ACT Medical Group employee claims that they aren't getting paid.
WILMINGTON, NC (WECT) – The NC Department of Labor is investigating ACT Medical Group employee claims that they aren't getting paid.
Employees received a letter explaining there has been restricted cash flow due to the recent issues with Medicaid and Medicare funding. ACT said they're delaying payroll because of those issues. The letter said payroll for employees will be pushed back from Feb. 1 to Feb. 22.
A spokesperson for the NC Department of Labor said it is illegal for employers to not pay employees on regularly scheduled pay days.
ACT Medical Group wouldn't comment on whether or not employees would get paid this month.
The company's business development director did, however, say "there is a story there that Medicaid has not been paying any of its insurer's since January 1 for billing they've submitted to them, and that's impacting organizations across the state."
The spokesperson went on to say that anyone who submits claims to Medicare and Medicaid would be affected, and ACT Medical Group does have Medicare and Medicaid patients.
The NC Department of Labor said they are aware of the situation and have already received several complaints – three came in Feb. 4 and one on Feb. 5.