Defunct Maine firm agrees to back-pay plan

LEWISTON – Richardson Hollow Mental Health Services, a Lewiston-based agency that closed its doors last September, has reached a $190,000 settlement of a Maine Department of Labor lawsuit seeking back pay and unpaid vacation money for former employees.

Richardson Hollow agreed to pay about $70,000 in back wages and $120,000 in vacation pay to 126 former workers, but it’s unclear if it has that kind of money. The state plans to pursue the sale of any company assets.

The department will take money from its Wage Assurance Fund and send former workers any back pay they’re owed. Money received from Richardson Hollow would be put back in the fund, which is barred by law from paying for vacation time.

Richardson Hollow, which provided mental health services to adults and children, had about 1,000 clients and more than 200 employees at its peak. Sweetser, a Saco-based agency, took over the company’s clients and hired many of its workers.