Marlo Gordon alleges she was hired by Angello and his wife Isabel Adrian in Los Angeles, and paid a wage of $50,000 (£39,000) a year.
She moved with the couple when they relocated from L.A. to Sweden on the understanding her schedule and workload as she cared for the star's two daughters would remain the same.
But once she started working in Sweden, she claims she was treated like "human chattel", having to work 24-hour days in the first three weeks of living in Sweden, while living in a hotel room she had to share with the children.
Gordon reportedly confronted Angello and his wife after a month of working in Sweden, and was promptly fired for complaining, according to TMZ.com.
She is suing the couple for lying about her job duties, failing to pay overtime, and wrongful termination.
Angello has now fired back, insisting the nanny was fired because she was caught drinking while caring for his daughters.
The DJ tells TMZ he was away working when his mother spotted Gordon and his girls at a local bar, where she is said to have used a debit card intended for the kids' expenses to pay for the outing. He also claims the card's statement shows she used the card at the bar on three consecutive days.
Angello is now planning to countersue Gordon.