Paying paltry wages to H-1B employees gets gets California-based People Tech Group fined by US department of Labor

Last Updated: Fri, Sep 14, 2018 16:10 hrs
Ministry of Communications and Information Technology

An order from the US department of Labor has sought Redmond-based People Tech Group to pay $355,000 for violating several labor rules

The ruling includes paying over $309,914 to 12 H-1B employees and a penalty of $45,564.

People Tech has several offices including ones in Bengaluru and Hyderabad and the labor order found it had violated labour provisions of the visa program by paying guest workers below required wages.

The Bellevue based company, investigators observed, paid entry-level wages to even H-1B computer analysts and computer programmers who actually performed work of much more experienced employees and should have received higher prevailing rates.

According to the law, the Group was supposed to pay employees for the time when it did not give them work, however, People Tech failed in meeting this law.

"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 safeguarding 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.

With Agency Inputs