Three international logistics and transportation companies in the San Diego border region recently agreed to pay nearly $840,000 in back wages, damages and penalties after federal investigators alleged they “willfully and recklessly” deprived dozens of workers of their proper pay, including paying some workers less than $3 per hour.
“The U.S. Department of Labor is committed to continuing its years-long effort to bring the customs broker, warehouse and logistics industry into compliance with the federal workplace guarantees of minimum wage and overtime,” Marc Pilotin, the department’s western regional solicitor, said in a statement. “Far too many employees who work in these cross-border operations continue to be cheated out of their lawful wages under U.S. law.
The company agreed in the consent judgment to pay 14 workers a total of $445,798 in back wages and damages. The company also agreed to pay $8,645 in penalties and hire an independent third party to conduct annual Fair Labor Standards Act training.SAI Logistics Experts Inc., another customs broker involved in assisting the cross-border transport of goods, denied Mexican workers required overtime wages and paid some workers as little as $3.86 per hour in pesos, according to the Labor Department.
Last year, a company that agreed to pay more than $1 million in back wages to 35 Mexican workers disputed any wrongdoing and criticized investigations of this kind by the Labor Department.
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