H-2B Visa Violations Result in $200K Penalty for Carnival Company

Dive Right Into

Key Takeaways:

GoldStar Amusements Inc. and Lee’s Concessions fined for H-2B violations: $209,827 to employees, $63,584 in civil money penalties.
H-2B visa program brings seasonal foreign labor; employers must comply with guidelines to avoid penalties.
Employers must adhere to federal wage laws; Department of Labor provides support to ensure compliance.

In a stark reminder of the importance of employer compliance with federal wage laws, two carnival companies have been hit with substantial fines due to violations related to the H-2B Visa program. This case sheds light on the critical aspects of the program and the consequences of noncompliance.

What Led to the Carnival Wage Penalties?

H-2B Visa Violations Result in $200K Penalty for Carnival Company

The Department of Labor’s Wage and Hour Division carried out an investigation which revealed that during the 2016 and 2017 seasons, GoldStar Amusements Inc. and Lee’s Concessions Inc. did not adhere to the stipulations of the H-2B visa program. The findings, affirmed by a judge this month, included failure to pay prevailing wages, not covering inbound and outbound transportation costs, and not maintaining accurate payroll records. Consequently, a decision was issued that the carnival operators would compensate $146,243 to 55 employees along with another $63,584 in civil money penalties.

Understanding the H-2B Visa Program

The H-2B visa program is designed to allow employers to temporarily bring foreign, non-agricultural workers into the United States. It’s pivotal for fields that experience seasonal peaks in demand, wherein domestic labor supply falls short. However, this program has been under scrutiny due to reports of workers facing poor conditions and low wages. Employees brought in under this program usually stay for about 9 months, although extensions are possible. Notably, the visas are under the control of the employer, which means any termination of employment can lead to immediate deportation of the worker.

Why Compliance Matters

“Wage and Hour District Director Kristin Tout in Minneapolis” strongly emphasized that employers are legally obliged to be informed and compliant with federal wage laws. The H-2B program has explicit guidelines which are communicated to employers upon application. The Department of Labor takes violations of these guidelines very seriously, underlining the importance of understanding and adhering to the legal requirements for all parties involved.

How Employers and Employees Can Ensure Compliance

The Department of Labor encourages both employers and workers, irrespective of their origin, to reach out for assistance in understanding and complying with federal wage laws. The department is equipped to communicate in over 200 languages, making it accessible for a wide range of inquiries.

For anyone looking to learn more about the H-2B visa program and its requirements, the U.S. Citizenship and Immigration Services (USCIS) official page offers comprehensive and authoritative information.

In Conclusion

The case of GoldStar Amusements Inc. and Lee’s Concessions Inc. serves as a crucial reminder of the legal responsibilities employers have when utilizing the H-2B visa program. It’s imperative for employers to familiarize themselves with the program’s guidelines and ensure they remain in compliance to avoid substantial penalties. At the same time, employees should be aware of their rights and the protections afforded to them. Both parties have resources available to them to navigate the complexities of federal wage laws and visa programs, ensuring fair treatment and compliance.

This Article In A Nutshell:

Two carnival companies face heavy fines for breaching H-2B Visa laws. The program brings foreign workers for seasonal demand. Employers must follow strict guidelines to ensure fair treatment. Employers and employees can get guidance from the Department of Labor. Understanding and compliance with federal wage laws are critical in avoiding penalties and upholding workers’ rights.
— By VisaVerge.com