News Release
US Department of Labor recovers $72K in back wages from carnival operator that shortchanged 32 temporary visa workers’ wages in Michigan
STANDISH, MI – The U.S. Department of Labor has obtained a court order requiring T.J. Schmidt & Co. LLC, a Standish carnival operator, to pay $72,254 in back wages to 32 temporary nonimmigrant workers the employer hired to run midway games, staff food stands, and build and operate rides but then paid them less than the wages promised and did not fully reimburse all workers for travel to the U.S. as required.
On Aug. 1, 2024, department’s Office of Administrative Law Judges entered a consent decree in which the company agreed to pay the back wages and $13,746 in civil money penalties for violating federal regulations. The action follows an investigation by the department’s Wage and Hour Division that examined the company’s records from April 1 through Oct. 12, 2021, and found that the employer violated some of the terms outlined in its federal H-2B temporary visa program application.
“Employers seeking the Department of Labor’s permission to hire temporary visa workers must declare the types of workers’ tasks, pay rates and other compensation, and provide or reimburse these employees for their transportation to and from their home country and job site,” explained Wage and Hour District Director Timolin Mitchell in Detroit. “Let this case send a clear message to other employers who mistakenly believe they won’t be held accountable for ignoring their responsibilities in employing workers with temporary visa applications.”
In addition to paying back wages and penalties, the judge ordered the employer to use an approved timekeeping system, post prevailing wage information and provide non-immigrant workers with H-2B resource materials. The H-2B program allows employers to hire nonimmigrants to perform temporary nonagricultural jobs to meet seasonal, peak load or intermittent needs.
“The Department of Labor will pursue litigation vigorously against employers who violate the H-2B program’s requirements. We will work hard to make sure the rights of workers and their wages and benefits are legally protected,” explained Regional Solicitor Christine Heri in Chicago. “Employers who disregard their obligations under this voluntary program – harming workers and putting law-abiding employers at an economic disadvantage – will be held accountable.”
Founded in 2008, T.J. Schmidt & Co. LLC is a family owned and operated carnival operator. The company provides shows, rides, games, specialty foods and customer amenities to create traveling theme park experiences in Michigan.
Learn more about the Wage and Hour Division, including a search tool to use if you think you may be owed back wages collected by the division and how to file an online complaint. For confidential compliance assistance, employees and employers can call the agency’s toll-free helpline at 866-4US-WAGE (487-9243), regardless of where they are from. The department can speak with callers in more than 200 languages.
Download the agency’s new Timesheet App for free on iOS and Android devices in English or Spanish to ensure hours and pay are accurate.
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