Opinion Letters

Guidance on specific FLSA issues

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Retention benefits - discussion of whether a Stay Bonus is a nondiscretionary bonus and, in the case of non-exempt employees, must be included when the employer computes the employees' regular rate of pay for purposes of overtime pay. Also, where payment of the Stay Bonus is deferred until a future date and accrues interest at a rate of interest, whether the interest payment should be as wages when retroactively adjusting overtime.

Further information:
Retention benefits/stay bonus

Summer camp employees - discussion of whether certain employees who work at a summer sports camp are exempt from the provisions of the FLSA.

Further information:
Summer camp employees

Respiratory therapists - discussion of whether staff respiratory therapists at a hospital run by a state university may "substitute" shifts with other employees so that they may work straight 12-hour shifts.

Further information:
Respiratory therapists and substitution

Social workers and caseworkers - discussion of whether certain employees of a multi-county social services agency whose work requires academic qualifications are exempt from the FLSA requirements because they work in a professional capacity.

Further information:
Social workers and caseworkers

...back to 24 November 2005


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Enforcing labor rights

Computer staffing firm to pay $2.65 million in back wages and penalties

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Southfield, MI - The U.S. Labor Department has announced that a firm that places computer professionals at locations throughout the United States has agreed to pay $2,250,000 in back wages to 232 computer professionals and a $400,000 fine to settle immigration law violations. The company is also prohibited from participation in the H-1B visa program for 18 months.

The investigation found that the firm brought non-immigrant H-1B workers into the U.S. but failed to pay them the minimum required wage rates in the areas where they were employed. The investigation also disclosed that the workers were frequently "benched" without compensation contrary to the rules of the H-1B program.

The H-1B visa program allows foreign workers to enter and work temporarily in the United States in professional level jobs such as computer programmers, engineers, medical doctors and teachers. H-1B workers must be paid at least the same wage rates and benefits as those paid to U.S. workers already doing the same job in the same area.

...back to 24 November 2005

Further Information:
Computer Staffing Firm to Pay $2.65 Million In Back Wages and Penalties for Immigration Law Violations


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