Penalty imposed on US company for paying low wages to H-1B employees

A Redmond-based information technology staffing company was asked to pay over USD 300,000 to its 12 H-1B employees for paying them far below their salary

Published: 14th September 2018 11:28 AM  |   Last Updated: 14th September 2018 11:28 AM   |  A+A-

immigration, h-1B visa

File Image for Representational Purposes. | AP

By PTI

WASHINGTON: A Redmond-based information technology staffing company was asked to pay over USD 300,000 to its 12 H-1B employees for paying them far below their salary and has been imposed a penalty of over USD 45,000, a media report said Thursday.

The US Department of Labour Wage and Hour Division (WHD) during the investigation found the company, which has offices in Bengaluru and Hyderabad, violated the labour provisions of the H-1B visa program by paying its guest workers far below the required wages, the report said.

As a result, People Tech Group Inc has been asked to pay its 12 employees USD 309,914 and has been slapped with a penalty of USD 45,564, it said.

Investigators found that the company paid entry-level wages to H-1B computer analysts and computer programmers who performed the work of much more experienced employees and should have received higher prevailing rates, the Department of Labour said.

The Group also did not pay the employees for the time when it failed to provide them work, as the law requires, the department said.

"The intent of the H-1B foreign labour certification program is to help American companies find the highly skilled talent they need when they can prove that a shortage of US workers exists," said Wage and Hour Division Acting District Director Carrie Aguilar in Seattle.

The resolution of this case demonstrates our commitment to safeguard American jobs, level the playing field for law-abiding employers, and ensure no one is being paid less than they are legally owed, Aguilar said.

The Wage and Hour Division has listed nearly 30 companies as willful violator employers under the H-1B program.

As per the list maintained since 2013, a majority of willful violators are Indian Americans or companies owned by them.

At least 10 companies, which includes eight willful violators have been debarred or disqualified from hiring foreign guest workers on H-1B visas.

Stay up to date on all the latest World news with The New Indian Express App. Download now

Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.