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Wage and Hour Division (WHD)

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Wage and Hour Division - To promote and achieve compliance with labor standards to protect and enhance the welfare of the nation's workforce.

Press Releases

U.S. Department of Labor
Wage and Hour Division
Release Number: 06-490-NEW (wh 06-031)

Date: 

March 22, 2006

Contact: 

Leni Uddyback-Fortson

Phone: 

(215)861-5102

New Jersey Employers Ordered to Pay Over $650,000 in Back Pay and Penalties

Companies Found in Violation of H1B Visa Program

PHILADELPHIA -- Administrative Law Judges from the U.S. Department of Labor have found two New Jersey companies and their presidents in violation of the Immigration and Nationality Act and ordered them to pay $567,090 in back wages to 16 foreign workers hired under the Act’s H-1B visa program.

“Abuse of the foreign labor certification program undermines the integrity of the program and its goal of protecting wage standards for U.S. workers,” said Secretary of Labor Elaine L. Chao. “As these cases demonstrate, this Administration will aggressively pursue companies that violate this program.”

One Administrative Law Judge (ALJ) ruling held that Home Mortgage Company of America Inc., located in Hamburg, N.J., and its president, Roland David, willfully failed to pay 14 foreign workers the prevailing wages required by law. The defendants also misrepresented the job classifications on the labor condition applications used to obtain employment status for the workers. The company and David were ordered to pay $513,036 in back wages and $84,000 in civil money penalties and were disqualified from participating in the H-1B visa program for two years.

In another decision, an ALJ found that Priority I Software Solutions, Cinnaminson, N.J., and president, Anthony Corradetti, did not pay two foreign workers the prevailing wage. Corradetti was held personally liable for $54,054 in back wages.

The H-1B visa program permits employers to temporarily hire foreign workers to fill specialized jobs in the United States. Employers must pay H-1B workers at least the same wage as other employees who perform the same type of work or the prevailing wage in the area. The law also requires companies to accurately specify the terms and conditions under which the workers will be employed.

Information about the H-1B visa program’s worker protection provision may be obtained by calling the Department of Labor’s toll-free helpline at 1-866-4USWAGE (1-866-487-9243). Information is also available on the Internet at www.wagehour.dol.gov.

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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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