An investigation by the department’s Wage and Hour Division found that from April 2006 through April 2007, the company violated the law when it failed to pay employees hired under the H-1B program the required wage rate for nonproductive time; failed to provide notice of the filing of Labor Condition Applications (LCAs); failed to allow for public examination of the LCAs and necessary related documents; and failed to obtain LCAs for all areas of intended employment.

“These violations demonstrate an abuse of the H-1B program and will not be tolerated,” said Pat Reilly, director of the Wage and Hour Division’s Southern New Jersey District Office. “This enforcement action is an example of the steps the Department of Labor is taking to ensure that employers do not undercut American workers by underpaying temporary foreign workers.”

In addition to the back wages, the company has been assessed a total of $22,500 in civil money penalties.

The H-1B visa program permits employers to temporarily hire foreign workers in professional occupations such as computer programmers, engineers, physicians and teachers. H-1B workers must be paid at least the same wage rates as are paid to U.S. workers who perform the same types of work or the prevailing wages in the areas of intended employment.

The Wage and Hour Division enforces the H-1B wage provisions of the Immigration and Nationality Act, in addition to other federal laws pertaining to wage payments. For more information about the H-1B program, visit the department’s Web site at http://www.dol.gov/esa/whd/immigration/h1b.htm or call the Department of Labor’s toll-free helpline at 866-4US-WAGE (487-9243).

# # #

U.S. Department of Labor releases are accessible on the Internet at www.dol.gov. The information in this news release will be made available in alternate format (large print, Braille, audio tape or disc) from the COAST office upon request. Please specify which news release when placing your request at 202-693-7828 or TTY 202-693-7755. The Labor Department is committed to providing America’s employers and employees with easy access to understandable information on how to comply with its laws and regulations. For more information, please visit www.dol.gov/compliance.

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