Wage and Hour Division (WHD)

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HAMBURG, NJ -- The U.S. Department of Labor has fined The Home Mortgage Company of America, Inc. of Hamburg, New Jersey, and the company's president, $84,000 in civil money penalties for their illegal treatment of 14 non-immigrant workers. The company had recruited the workers while they were visiting the U.S. as tourists from the Philippines.

The company and its president, Roland David, are charged with willfully failing to pay the workers wages required under federal law. Charges also include willfully misrepresenting job classifications in Labor Condition Applications used to obtain employment status for the workers under the H-1B program. The Department is also demanding that the company and its president pay the employees a total of $513,037 in back wages.

"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 Corlis Sellers, regional administrator of the department's Wage and Hour Division's Northeast Region.

Because of the alleged willful violations, the Labor Department is also taking steps to block the company and its president from sponsoring additional foreign workers for employment in the U.S. The enforcement actions were detailed in a determination letter delivered on Aug. 6 by the Wage and Hour Division to The Home Mortgage Company of America, Inc., and Mr. David.

The company had requested authorization to employ the workers under the H-1B provisions of the Immigration and Nationality Act. That Act allows employment of foreign nationals for a temporary period to work in "specialty occupations" in the U.S. H-1B employees must be paid wages that are based on what is paid to similarly employed U.S. workers. The law also requires accurate specification of terms and conditions under which the workers will be employed, such as their job category.

Sellers noted that the Labor Department's investigation of the company determined that the employer had paid the workers significantly less than the prevailing rate for U.S. workers in the area of employment.

The determination letter informs the company and Mr. Roland of their right to request a hearing on the determination if they believe it is in error. The investigation was conducted by the department's Wage and Hour Division's office in Mountainside, NJ; telephone 973-645-2279. Additional information is available on the Internet at: www.wagehour.dol.gov or by calling 1-866-4USWA.

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