The Dept. of Labor announced in a statement today that Cloudwick Technologies Inc., a California-based data solutions services company, will pay $173,044 to 12 guest workers in back wages. The announcement comes after an investigation conducted by the department revealed that the company failed to pay employees the wages required by the H-1B program and made illegal deductions from their paychecks.
DOL investigators found that some of the employees moved to California from India to work for Cloudwick, expecting to be paid $8,300 a month, but instead ended up earning a mere $800 dollars a month for their services. Additionally, the company agreed to having its compliance with the H-1B program monitored.
Susana Blanco, director for San Francisco’s Wage and Hour Division, expressed the division’s resolve to protect American workers as well as ensure that employers rightfully pay guest workers what they have earned.
“The intent of the H-1B foreign labor certification program is to help American companies find the highly skilled talent they need when they can prove that a shortage of U.S. workers exists,” Blanco said. “The resolution of this case demonstrates our commitment to safeguard American jobs, level the playing field for law-abiding employers, and protect guest workers from being paid less than they are legally owed.”
According to the DOL’s statement, the data solutions company provides services to Apple, American Express, Bank of America, Cisco, Comcast, Intuit, Safeway, Verizon and Visa. The statement went on to list an email address, designated by U.S. Citizenship and Immigration Services (USCIS), for individuals to report potential H-1B fraud or abuse.
“To further deter and detect abuse, U.S. Citizenship and Immigration Services has established an email address which will allow individuals (including both American workers and H-1B workers who suspect they or others may be the victim of H-1B fraud or abuse) to submit tips, alleged violations and other relevant information about potential H-1B fraud or abuse. Individuals also can report allegations of H-1B violations by submitting Form WH-4 to the department’s Wage and Hour Division.”
For more on this story, see dol.gov.
