Massachusetts design/build operation pays $832K in back wages

The U.S. Department of Labor said it recovered $771,022 in back wages and $61,215 in liquidated damages for 47 workers of a Haverhill design/build company after the employer failed to comply with requirements of the federal H-2B worker program and the Fair Labor Standards Act.

Investigators with the department’s Wage and Hour Division determined Triad Associates did not pay certain H-2B workers the proper overtime rate for all hours more than 40 in a workweek, a Fair Labor Standards Act violation. Investigators also found Triad Associates failed to keep accurate records for the hours that salaried non-exempt employees worked. The division recovered $61,215 in back wages and an equal amount in liquidated damages owed to six workers to resolve the FLSA violations. The investigation also identified violations of related H-2B provisions in the Immigration and Nationality Act.

The division found Triad Associates illegally:

• Failed to comply with the prohibition against preferential treatment, which resulted in the division recovering $138,763 in back wages for 13 workers.
• Paid less than the offered wage rate to masons and pavers. The division recovered $503,704 in back wages owed to 47 workers.
• Placed workers in an unapproved job classification and made impermissible deductions from workers’ wages.
• Failed to pay H-2B workers’ inbound travel, outbound travel and subsistence costs.
• Failed to fulfill required recruitment activities, including contacting former U.S. employees when attempting to fill vacancies.
• Did not retain required documents.

In addition to recovering back wages, the division assessed Triad Associates with civil money penalties of $5,694 under the FLSA and $117,949 under the H-2B program, which the company paid.