Kaiser Wage-and-Hour Lawsuit Challenges Pay Practices During Healthcare Labor Dispute

A wage-and-hour lawsuit filed against Kaiser Foundation Hospitals and The Permanente Medical Group is moving forward in federal court after a judge partially denied a motion to dismiss. The case was brought by workers assigned to Kaiser facilities during a labor dispute and includes allegations involving overtime, meal and rest breaks, wage statements, and unpaid compensation under California law.

Case: Troy Faibvre and Mayada Hamoda v. Kaiser Foundation Hospitals et al.

Court: U.S. District Court for the Southern District of California

Federal Case No.: 3:25-cv-00617-BTM-DTF

The Plaintiffs: Faibvre and Hamoda v. Kaiser Foundation Hospitals et al.

According to the court-supported order, Troy Faibvre and Mayada Hamoda filed the lawsuit on their own behalf and on behalf of a putative class of nonexempt employees who were allegedly hired and assigned by U.S. Nursing Corporation to work at Kaiser facilities during a labor dispute.

The plaintiffs asserted multiple California wage-and-hour claims tied to their work assignments. The complaint includes allegations of unpaid wages, overtime compensation, minimum wage violations, meal and rest break violations, wage statements, waiting time penalties, and related business practice claims under California law.

The lawsuit also includes a breach-of-contract claim arising from the alleged employment arrangements underlying the staffing assignments.

The Defendants: Faibvre and Hamoda v. Kaiser Foundation Hospitals et al.

The defendants identified in the federal court order are Kaiser Foundation Hospitals, The Permanente Medical Group, Inc., and Does 1–20.

Healthcare staffing disputes can raise complex employment law questions, particularly during labor disruptions or emergency staffing periods. Cases involving temporary or contract healthcare staffing arrangements may raise issues concerning compensation practices, scheduling demands, overtime obligations, and compliance with California meal-and-rest-break requirements for nonexempt workers.

The plaintiffs allege the defendants failed to comply with California labor laws governing employee compensation and workplace protections during the staffing assignments at issue.

A History of the Case: Faibvre and Hamoda v. Kaiser Foundation Hospitals et al.

The lawsuit was originally filed in California Superior Court on February 11, 2025. The defendants later removed the matter to the U.S. District Court for the Southern District of California on March 14, 2025.

The complaint asserts nine causes of action involving California wage-and-hour law and related claims.

A significant procedural ruling occurred on January 5, 2026, when the federal court granted in part and denied in part the defendants’ motion to dismiss. That ruling allowed portions of the case to proceed while challenging other parts of the pleadings at the motion stage.

The January 5, 2026 order did not resolve whether the alleged labor violations occurred. Instead, the court addressed the legal sufficiency of portions of the complaint before proceeding further in litigation.

The Main Question Being Considered: Faibvre and Hamoda v. Kaiser Foundation Hospitals et al.

The litigation centers on whether the defendants complied with California wage-and-hour laws governing compensation, overtime pay, meal and rest periods, wage statements, and final pay obligations for nonexempt workers assigned to Kaiser facilities during the labor dispute.

The case also raises contractual and unfair-business-practice questions connected to the staffing arrangements and compensation practices alleged in the complaint.

At this stage of the litigation, the federal court has focused on whether the claims were sufficiently pleaded to proceed, rather than deciding the truth of the underlying allegations.

Why This Case Matters: Faibvre and Hamoda v. Kaiser Foundation Hospitals et al.

California healthcare employers and staffing-related organizations continue to face substantial scrutiny regarding wage-and-hour compliance, particularly in situations involving temporary staffing arrangements and high-demand labor conditions.

The case also highlights how labor disputes and emergency staffing situations can raise complicated legal questions concerning overtime practices, break compliance, payroll obligations and worker classification within medical systems.

For employees, the litigation shows ongoing concerns about compensation and workplace protections during temporary healthcare assignments. For employers, the case emphasizes the importance of maintaining legally compliant pay and scheduling practices even during periods of operational disruption or labor shortages.

FAQ: Faibvre and Hamoda v. Kaiser Foundation Hospitals et al.

Q: What is the Kaiser wage-and-hour lawsuit about?

A: The lawsuit involves allegations that nonexempt workers assigned to Kaiser facilities during a labor dispute were not properly compensated under California wage-and-hour laws.

Q: Who filed the lawsuit?

A: Troy Faibvre and Mayada Hamoda filed the case on behalf of themselves and a putative class of workers allegedly assigned through U.S. Nursing Corporation.

Q: What claims are included in the complaint?

A: The complaint includes claims involving unpaid wages, overtime, minimum wage obligations, meal and rest breaks, wage statements, waiting time penalties, breach of contract, and unfair competition claims.

Q: What did the federal court decide in January 2026?

A: On January 5, 2026, the court granted in part and denied in part the defendants’ motion to dismiss.

Q: Did the court determine whether wage violations occurred?

A: No. The January 5, 2026 ruling addressed the legal sufficiency of portions of the complaint, not whether the alleged labor violations ultimately occurred.

If you have questions about California wage-and-hour law, healthcare staffing disputes, overtime claims, or meal-and-rest-break compliance, contact Blumenthal Nordrehaug Bhowmik DeBlouw LLP. Experienced employment law attorneys are ready to help at offices in Los Angeles, San Diego, San Francisco, Sacramento, Riverside, and Chicago.