{"id":16317,"date":"2023-04-29T16:15:54","date_gmt":"2023-04-29T23:15:54","guid":{"rendered":"https:\/\/essential.construction\/news\/dol-pennsylvania-subcontractor-will-pay-384k-in-back-wages-penalties-for-violating-h-2b-rules\/"},"modified":"2023-04-29T16:15:55","modified_gmt":"2023-04-29T23:15:55","slug":"dol-pennsylvania-subcontractor-will-pay-384k-in-back-wages-penalties-for-violating-h-2b-rules","status":"publish","type":"post","link":"https:\/\/essential.construction\/news\/dol-pennsylvania-subcontractor-will-pay-384k-in-back-wages-penalties-for-violating-h-2b-rules\/","title":{"rendered":"DOL: Pennsylvania subcontractor will pay $384K in back wages, penalties for violating H-2B rules"},"content":{"rendered":"<p> <a href=\"https:\/\/essential.construction\/files\/membership-default-internal\/\" class=\"memberhide\"><img decoding=\"async\" src=\"https:\/\/essential.construction\/news\/wp-content\/uploads\/sites\/15\/2023\/01\/20220718_175041000_iOS.jpg\" alt=\"-\"><\/a><br\/><br \/>\n<\/p>\n<div>\n<h3>Dive Brief:<\/h3>\n<ul>\n<li>A Pennsylvania swimming pool subcontractor <a rel=\"nofollow noopener\" href=\"https:\/\/www.dol.gov\/newsroom\/releases\/whd\/whd20230417\" target=\"_blank\">will pay $317,097 in back wages<\/a> to three U.S. workers and 56 workers from Mexico employed under the federal H-2B guest worker visa program, the U.S. Department of Labor announced April 17. The payments will be made pursuant to a <a rel=\"nofollow noopener\" href=\"https:\/\/www.oalj.dol.gov\/DECISIONS\/ALJ\/TNE\/2022\/Wage_and_Hour_Divisi_v_GSI_Pool_Finishes_In_2022TNE00001_(MAR_03_2023)_101647_HRGCL_PD.PDF\" target=\"_blank\">consent order<\/a> resolving charges that the subcontractor violated the program.<\/li>\n<li>Following an investigation, DOL\u2019s Wage and Hour Division determined that GSI Pool Finishes paid the workers, hired as cement masons, at a piece rate less than the required wage rate that was offered, according to the DOL. The incorrect rate resulted in the workers being owed $266,627 in back wages, the agency said. GSI Pool Finishes also allegedly failed to conduct drug tests and criminal background checks as advertised; failed to provide inbound, outbound and daily subsistence to workers for their travel to and from the worksite;\u00a0and failed to properly recruit U.S. workers, among other violations, according to DOL.<\/li>\n<li>GSI Pool Finishes contested the findings, specifically how the WHD calculated back wages. An administrative law judge found <a rel=\"nofollow noopener\" href=\"https:\/\/www.oalj.dol.gov\/DECISIONS\/ALJ\/TNE\/2022\/Wage_and_Hour_Divisi_v_GSI_Pool_Finishes_In_2022TNE00001_(OCT_13_2022)_114555_ORDER_PD.PDF\" target=\"_blank\">inconsistencies in the evidence<\/a> and scheduled a hearing, but prior to the hearing, the parties agreed on certain findings. The judge approved the findings and issued the consent order, which requires the company to pay $67,649 in civil penalties in addition to the back pay. The back wages include $50,470 in travel expenses, the DOL said. GSI Pool Finishes did not respond to a request for a comment by press time.<\/li>\n<\/ul>\n<p><strong>Dive Insight:<\/strong><\/p>\n<p>Under the H-2B program, established by the Immigration and Nationality Act, employers can hire <a rel=\"nofollow noopener\" href=\"https:\/\/www.dol.gov\/agencies\/whd\/immigration\/h2b\" target=\"_blank\">nonimmigrants on a temporary basis to perform nonagricultural work<\/a> in the U.S., according to a DOL guidance. That is, the employment must be for a limited time, such as a one-time occurrence, or to meet a seasonal, peak-load or intermittent need.<\/p>\n<p>Participating employers must abide by requirements intended to protect both foreign and U.S. workers. For example, employers have to pay H-2B workers and U.S. workers employed in corresponding jobs no less than the wage rate specified in the job order. This rate must be <a rel=\"nofollow noopener\" href=\"https:\/\/www.dol.gov\/agencies\/whd\/fact-sheets\/78c-h2b-wage-requirements\" target=\"_blank\">at least the highest of the prevailing wage rate<\/a> obtained by the DOL\u2019s Employment and Training Administration or the applicable minimum wage under federal, state or local law, a DOL fact sheet explains.<\/p>\n<p>If workers are paid on a piece rate, commission, bonus or other incentive, the employer must guarantee wages that equal or exceed the offered rate, the fact sheet says.<\/p>\n<p>Also, before hiring H-2B workers, employers <a rel=\"nofollow noopener\" href=\"https:\/\/www.dol.gov\/sites\/dolgov\/files\/WHD\/foh\/Ch_46.pdf\" target=\"_blank\">must test the labor market for U.S. workers<\/a> and recruit, consider and hire qualified and available U.S. applicants, according to the DOL\u2019s April 2022 field enforcement handbook.<\/p>\n<p>The H-2B program is not without controversy. The Economic Policy Institute, a worker advocacy research group, <a rel=\"nofollow noopener\" href=\"https:\/\/www.hrdive.com\/news\/epi-h-2b-visa-heavy-industries-owed-about-18m-in-wage-violations\/630386\/\" target=\"_blank\">has argued that the program exploits migrant workers<\/a> and U.S. citizens who work alongside them.<\/p>\n<p>As support, EPI published a report in August 2022 finding that the seven industries employing the majority of H-2B visa holders \u2014 amusement, construction, food services, forestry, hotels and motels, janitorial services and landscaping services \u2014 accounted for nearly $1.8 billion in wage and hour violations between fiscal years 2000 and 2021. EPI said its data represented violations and back wages owed to more than 1.6 million employees, including U.S. citizens, lawful permanent residents, H-2B workers and workers of other immigration status.<\/p>\n<p>However, business advocates, such as the H-2B Workforce Coalition, have been vocal about the need for seasonal employees.<\/p>\n<p>The <a rel=\"nofollow noopener\" href=\"https:\/\/www.uscis.gov\/working-in-the-united-states\/temporary-workers\/h-2b-non-agricultural-workers\/cap-count-for-h-2b-nonimmigrants\" target=\"_blank\">current cap<\/a> on H-2B visas is at 66,000 per fiscal year, with 33,000 workers for each half of the year (Oct. 1\u2013Mar.\u00a031 and April 1\u2013Sept. 3). But these caps are reached quickly, as are the caps on supplemental visas routinely allotted. For example, on Mar. 31, the U.S. Citizenship and Immigration Service announced that it had received enough petitions to <a rel=\"nofollow noopener\" href=\"https:\/\/www.hrdive.com\/news\/h2b-visa-cap-reached-second-half-of-fiscal-year-2023\/646783\/\" target=\"_blank\">reach the cap for the additional 16,500 H-2B visas<\/a> made available to returning workers for the early half of FY 2023.<\/p>\n<p>There have been calls for change. In a <a rel=\"nofollow noopener\" href=\"https:\/\/s3.documentcloud.org\/documents\/22040477\/ossoff.pdf\" target=\"_blank\">May 2022 letter to Sen. Jon Ossoff<\/a>, D-Ga., U.S. Secretary of Homeland Security Alejandro Mayorkas confirmed that the federal government would undergo rulemaking to reform the H-2B and the H-2A (agricultural workers) visa programs.<\/p>\n<p>Meanwhile, a January proposal by the Department of Homeland Security to raise the application fee from $460 to $1,080 (for named H-2A visa petitions) and $1,090 (named H-2B petitions) has been met with opposition.<\/p>\n<p><a rel=\"nofollow noopener\" href=\"https:\/\/www.hickenlooper.senate.gov\/wp-content\/uploads\/2023\/03\/manchin_rounds_uscis_filing_fee_letter.pdf\" target=\"_blank\">In a March letter<\/a> to Mayorkas and U.S. Citizenship and Immigration Services Director Ur Jaddou, a group of bipartisan senators expressed concern that the proposed increase \u201cwill be particularly burdensome for small businesses relying on H-2A and H-2B nonimmigrant visas to meet their workforce needs.\u201d Given the persistent labor shortages in their industries, the proposal may prevent them from operating at full capacity and result in higher prices, a decline in services or products and exacerbate inflation, the senators wrote.<\/p>\n<\/p><\/div>\n<p><script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-5143531171910809\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<!-- News - Bottom -->\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-client=\"ca-pub-5143531171910809\"\r\n     data-ad-slot=\"8320848692\"\r\n     data-ad-format=\"auto\"\r\n     data-full-width-responsive=\"true\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script><br \/>\n<br \/><a href=\"https:\/\/www.constructiondive.com\/news\/dol-pa-subcontractor-will-pay-374k-in-back-wages-H-2B-penalties\/648774\/\" rel=\"nofollow noopener\" target=\"_blank\">This article was originally posted at Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Dive Brief: A Pennsylvania swimming pool subcontractor will pay $317,097 in back wages to three U.S. workers and 56 workers &#8230; <a title=\"DOL: Pennsylvania subcontractor will pay $384K in back wages, penalties for violating H-2B rules\" class=\"read-more\" href=\"https:\/\/essential.construction\/news\/dol-pennsylvania-subcontractor-will-pay-384k-in-back-wages-penalties-for-violating-h-2b-rules\/\" aria-label=\"Read more about DOL: Pennsylvania subcontractor will pay $384K in back wages, penalties for violating H-2B rules\">Read more<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[457],"tags":[],"class_list":["post-16317","post","type-post","status-publish","format-standard","hentry","category-construction-dive","generate-columns","tablet-grid-50","mobile-grid-100","grid-parent","grid-33"],"_links":{"self":[{"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/posts\/16317","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/comments?post=16317"}],"version-history":[{"count":0,"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/posts\/16317\/revisions"}],"wp:attachment":[{"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/media?parent=16317"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/categories?post=16317"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/essential.construction\/news\/wp-json\/wp\/v2\/tags?post=16317"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}