Former employee alleges Serene Gardens of Rochester Hills failed to pay proper overtime wages

Theodore Levin Federal Building
Theodore Levin Federal Building
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Allegations have been raised that an assisted living facility failed to pay its hourly workers the full amount of overtime wages required by federal law. The dispute centers on claims that employees were not properly compensated for all hours worked, including time spent working through meal breaks and additional forms of pay that were not included in overtime calculations.

On April 9, 2026, Sangrica Beasley filed a collective action complaint in the United States District Court for the Eastern District of Michigan against Serene Gardens of Rochester Hills LLC. The lawsuit was submitted individually and on behalf of all others similarly situated, with Beasley represented by attorneys Kevin J. Stoops and Paulina R. Kennedy from Sommers Schwartz, P.C.

According to the complaint, Beasley worked as a non-exempt hourly employee at Serene Gardens from May through July 2024 at a base rate of $18.50 per hour. She alleges that she and other hourly workers were required to work through their designated 30-minute meal periods due to staffing shortages but were not paid for this time because it was deducted from their time records. The complaint states, “Plaintiff was prohibited from taking her designated meal period time for rest, but the meal period time was still deducted from her time records and she was not paid for this time.”

The filing further asserts that employees who did not adhere to safety protocols—requiring a set number of staff with residents—faced disciplinary action. As a result, Beasley claims she and others routinely skipped meal breaks to maintain resident safety and avoid discipline. The suit argues that this off-the-clock work is compensable under the Fair Labor Standards Act (FLSA) because it directly benefited the employer and was integral to job duties.

In addition to concerns about unpaid meal breaks, Beasley alleges that Serene Gardens failed to properly calculate overtime rates by excluding certain types of compensation such as bonus pay and MORC pay from regular rate calculations. According to federal regulations cited in the complaint, all forms of non-discretionary remuneration must be included when determining an employee’s regular rate for overtime purposes: “Defendant failed to incorporate bonus pay, MORC pay, and other non-discretionary remuneration into its hourly employees’ regular hourly rate calculation, resulting in prima facie violations of the FLSA.”

Beasley provides an example involving her own pay stub from January 2025 showing over 107 hours worked in one period with $40 in bonus pay included in gross earnings but not factored into her calculated overtime rate. She contends this practice violates both Department of Labor regulations and established case law requiring bonuses be included when computing overtime rates.

The lawsuit seeks several remedies on behalf of Beasley and other current or former hourly employees who worked at Serene Gardens within the past three years. Requested relief includes:
– Designation as a collective action under FLSA rules,
– Disclosure by Serene Gardens of names and contact information for all affected employees,
– A complete accounting of owed compensation,
– A declaration that Serene Gardens violated FLSA requirements willfully,
– Monetary judgment awarding back pay plus an equal amount in liquidated damages,
– Pre-judgment and post-judgment interest,
– Costs and reasonable attorney’s fees,
– Service payment to Beasley as named plaintiff.

The complaint also requests court-authorized notice be sent to potential collective members so they may join the suit if desired.

Attorneys Kevin J. Stoops (P64371) and Paulina R. Kennedy (P84790) are representing Beasley and proposed collective members in this matter before the United States District Court for the Eastern District of Michigan under Case No. 2:26-cv-11161-TGB-Cl.

Source: 226cv11161_Sangrica_Beasley_v_Serena_Gardens_Complaint_Eastern_District_of_Michigan.pdf



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