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Nursing home staff riled about paychecks

Many say banks wouldn't cash checks

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Several employees of Morris Healthcare and Rehabilitation Center were so upset at what they said has been a continuing payroll problem that an emergency union meeting was called Thursday afternoon.

About 25 employees of the new nursing home on Edgewood Drive gathered off hours at a neighborhood restaurant to update AFSCME Local 3903 union representative Kathy Steichen on what they called “a very serious matter.”

According to those employees present, who did not wish their names to be made public, the most recent problem occurred Thursday morning, when several area banks and businesses were refusing to cash their bi-weekly paychecks. Some said they were able to deposit the checks, but were told they could not draw on the funds for several days.

That’s not the first time they’ve experienced problems with payroll checks, though, most said.

“There have been a few incidences this year,” Steichen said, “and I think one last summer.”

Steichen explained that the problem this week could have been due to Prism Healthcare Group, the corporation that owns the nursing home, switching banks from First Chicago to First Midwest.

According to a letter recently received by staff and confirmed by Steichen and Prism’s CEO Lewis Borsellino, Prism’s previous bank from which payroll was issued was First Chicago Bank & Trust, which was closed on July 8 by the Illinois Department of Financial and Professional Regulation and placed in the hands of the Federal Deposit Insurance Corporation.

It was thought, Steichen said, that this week’s payroll checks were to be issued through a new, local bank.

Two area banks called Thursday said they could not confirm if they were denying cashing payroll checks from the nursing home due to privacy laws.

“That’s wage theft for them not paying for your services,” Steichen said of the nursing home. “You are having your wages stolen from you. . . State law requires you get paid for the work you do. . . If we work together, we can make these changes happen.”

One employee told those gathered she walked off the job Thursday morning after she could not cash her paycheck. It was the last straw, she said.

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