Thursday, November 05, 2009
Tweet[IWS] ESA: EMPLOYERS JAILED for COURT NON-COMPLIANCE for BACK WAGES PAYMENTS [4 November 2009]
IWS Documented News Service
_______________________________
Institute for Workplace Studies----------------- Professor Samuel B. Bacharach
School of Industrial & Labor Relations-------- Director, Institute for Workplace Studies
Cornell University
16 East 34th Street, 4th floor---------------------- Stuart Basefsky
New York, NY 10016 -------------------------------Director, IWS News Bureau
________________________________________________________________________
U.S. Dept. of Labor
Employment Standards Administration [ESA}
ESA News Release: [11/04/2009]
Contact Name: Deanne Amaden
Phone Number: (415) 625-2630
Release Number: 09-1092-SAN
Employers jailed for failing to comply with court order to pay back wages to Southland cleaning service workers [4 November 2009]
Southern California Maid Service owes workers more than $3.5 million in back pay
http://www.dol.gov/opa/media/press/esa/esa20091092.htm
SAN FRANCISCO The owners of a Southland residential cleaning service were taken into custody and later released after failing to comply with a court order directing payment of $3.5 million in back wages, plus interest, fines and liquidated damages to at least 385 workers.
"It is unconscionable that an employer would continue to disregard the obligation to pay vulnerable workers, even after being ordered to do so by a federal judge," said Secretary of Labor Hilda L. Solis.
The owners of Southern California Maid Service and Carpet Cleaning Inc., Sergio Maldonado and Lorenza Rubio of Rolling Hills Estates, Calif., were taken into custody Friday, Oct. 30, and released Tuesday evening, Nov. 3, after appearing before the Honorable Andrew J. Guilford at the U.S. district court in Santa Ana, Calif. At the Nov. 3 hearing, the couple promised to pay $30,000 by Nov. 5. Maldonado and Rubio have until Nov. 12 to pay the balance of the $3.5 million.
The court sided with the U.S. Department of Labor in finding that the company had wrongly classified its home and carpet cleaners as independent contractors and failed to pay them the federally required minimum wage or overtime for hours worked over 40 per week.
The court awarded back wages to the workers on Aug. 21, 2007, following an investigation by the Labor Department's Wage and Hour Division. Judge Guilford also ordered payment of more than $1 million in liquidated damages for violations of the federal Fair Labor Standards Act (FLSA). In September 2008, the Labor Department filed for civil contempt charges for continued failure to comply with the order. In April 2009, the court ordered daily fines against the company of $2,000, plus an additional $200 per day each from Maldonado and Rubio. Despite repeated efforts by department attorneys, the company and its owners have failed to make any payments to the department or the workers.
The West Covina District Office of the Wage and Hour Division learned of the employer's practices through its participation in the Employment Education and Outreach (EMPLEO) partnership. EMPLEO is an alliance of organizations and government agencies that assist Spanish-speaking workers and employers with work-related concerns. Callers to a toll-free helpline, 877-55-AYUDA (552-9832) are referred to EMPLEO partner organizations for assistance.
The FLSA requires that covered employees be paid at least the federal minimum wage and receive overtime at one and one-half times their regular rates of pay for hours worked beyond 40 per week. Employers must also maintain accurate time and payroll records. More information is available through the Department of Labor's toll-free helpline at 866-4US-WAGE (487-9243), online at http://www.wagehour.dol.gov, or by calling the West Covina District Office at 626-966-0478.
Solis v. Southern California Maid Service and Carpet Cleaning Inc.
Case Number: CV 06-3903 AG (MANx), U.S. District Court for the Central District of California
______________________________
This information is provided to subscribers, friends, faculty, students and alumni of the School of Industrial & Labor Relations (ILR). It is a service of the Institute for Workplace Studies (IWS) in New York City. Stuart Basefsky is responsible for the selection of the contents which is intended to keep researchers, companies, workers, and governments aware of the latest information related to ILR disciplines as it becomes available for the purposes of research, understanding and debate. The content does not reflect the opinions or positions of Cornell University, the School of Industrial & Labor Relations, or that of Mr. Basefsky and should not be construed as such. The service is unique in that it provides the original source documentation, via links, behind the news and research of the day. Use of the information provided is unrestricted. However, it is requested that users acknowledge that the information was found via the IWS Documented News Service.
****************************************
Stuart Basefsky
Director, IWS News Bureau
Institute for Workplace Studies
Cornell/ILR School
16 E. 34th Street, 4th Floor
New York, NY 10016
Telephone: (607) 255-2703
Fax: (607) 255-9641
E-mail: smb6@cornell.edu
****************************************
_______________________________
Institute for Workplace Studies----------------- Professor Samuel B. Bacharach
School of Industrial & Labor Relations-------- Director, Institute for Workplace Studies
Cornell University
16 East 34th Street, 4th floor---------------------- Stuart Basefsky
New York, NY 10016 -------------------------------Director, IWS News Bureau
________________________________________________________________________
U.S. Dept. of Labor
Employment Standards Administration [ESA}
ESA News Release: [11/04/2009]
Contact Name: Deanne Amaden
Phone Number: (415) 625-2630
Release Number: 09-1092-SAN
Employers jailed for failing to comply with court order to pay back wages to Southland cleaning service workers [4 November 2009]
Southern California Maid Service owes workers more than $3.5 million in back pay
http://www.dol.gov/opa/media/press/esa/esa20091092.htm
SAN FRANCISCO The owners of a Southland residential cleaning service were taken into custody and later released after failing to comply with a court order directing payment of $3.5 million in back wages, plus interest, fines and liquidated damages to at least 385 workers.
"It is unconscionable that an employer would continue to disregard the obligation to pay vulnerable workers, even after being ordered to do so by a federal judge," said Secretary of Labor Hilda L. Solis.
The owners of Southern California Maid Service and Carpet Cleaning Inc., Sergio Maldonado and Lorenza Rubio of Rolling Hills Estates, Calif., were taken into custody Friday, Oct. 30, and released Tuesday evening, Nov. 3, after appearing before the Honorable Andrew J. Guilford at the U.S. district court in Santa Ana, Calif. At the Nov. 3 hearing, the couple promised to pay $30,000 by Nov. 5. Maldonado and Rubio have until Nov. 12 to pay the balance of the $3.5 million.
The court sided with the U.S. Department of Labor in finding that the company had wrongly classified its home and carpet cleaners as independent contractors and failed to pay them the federally required minimum wage or overtime for hours worked over 40 per week.
The court awarded back wages to the workers on Aug. 21, 2007, following an investigation by the Labor Department's Wage and Hour Division. Judge Guilford also ordered payment of more than $1 million in liquidated damages for violations of the federal Fair Labor Standards Act (FLSA). In September 2008, the Labor Department filed for civil contempt charges for continued failure to comply with the order. In April 2009, the court ordered daily fines against the company of $2,000, plus an additional $200 per day each from Maldonado and Rubio. Despite repeated efforts by department attorneys, the company and its owners have failed to make any payments to the department or the workers.
The West Covina District Office of the Wage and Hour Division learned of the employer's practices through its participation in the Employment Education and Outreach (EMPLEO) partnership. EMPLEO is an alliance of organizations and government agencies that assist Spanish-speaking workers and employers with work-related concerns. Callers to a toll-free helpline, 877-55-AYUDA (552-9832) are referred to EMPLEO partner organizations for assistance.
The FLSA requires that covered employees be paid at least the federal minimum wage and receive overtime at one and one-half times their regular rates of pay for hours worked beyond 40 per week. Employers must also maintain accurate time and payroll records. More information is available through the Department of Labor's toll-free helpline at 866-4US-WAGE (487-9243), online at http://www.wagehour.dol.gov, or by calling the West Covina District Office at 626-966-0478.
Solis v. Southern California Maid Service and Carpet Cleaning Inc.
Case Number: CV 06-3903 AG (MANx), U.S. District Court for the Central District of California
______________________________
This information is provided to subscribers, friends, faculty, students and alumni of the School of Industrial & Labor Relations (ILR). It is a service of the Institute for Workplace Studies (IWS) in New York City. Stuart Basefsky is responsible for the selection of the contents which is intended to keep researchers, companies, workers, and governments aware of the latest information related to ILR disciplines as it becomes available for the purposes of research, understanding and debate. The content does not reflect the opinions or positions of Cornell University, the School of Industrial & Labor Relations, or that of Mr. Basefsky and should not be construed as such. The service is unique in that it provides the original source documentation, via links, behind the news and research of the day. Use of the information provided is unrestricted. However, it is requested that users acknowledge that the information was found via the IWS Documented News Service.
Stuart Basefsky
Director, IWS News Bureau
Institute for Workplace Studies
Cornell/ILR School
16 E. 34th Street, 4th Floor
New York, NY 10016
Telephone: (607) 255-2703
Fax: (607) 255-9641
E-mail: smb6@cornell.edu
****************************************