Labor sanctions company for delay in filing

The Department of Labor has imposed a $265 sanction on a company for negligence that caused the late filing of a renewal application for one of its employees.

Labor Administrative Hearing Officer Jerry Cody warned that if Pacific Utility & Communications Inc. fails to pay the sanction, further sanctions may be imposed on the company.

Cody reversed the Labor director’s decision to deny PUC’s application to renew the renew the employment of Basilio L. Siason.

“I believe the regulatory late fee is the most appropriate standard to apply in this case and I find that the figure proposed by the Department ($50 per each day of tardiness after 30 days) would have been unduly harsh under the circumstances,” the hearing officer said.

Labor records show that Sioson previously worked for PUC as a heavy equipment operator under a nonresident work permit that expired on Oct. 1, 2005.

PUC filed a renewal application for Sioson on Nov. 23, 2005. On Jan. 3, 2006, Labor denied the application on the ground that the renewal application was filed 53 days late.

PUC and Sioson appealed.

At the hearing, Labor established that the employee at PUC who was formerly assigned to prepare permit renewal applications left her job with the company in November 2005.

After that person left, PUC discovered several processing matters that needed attention. Among the unfinished items was Sioson’s renewal application that had not been filed.

Upon discovery of the problem, PUC’s management took immediate steps to rectify the situation; a renewal application was then submitted for Sioson.

PUC filed a renewal application on Nov. 23, 2005—53 days late after the prior permit expired. Labor denied the application on the grounds that it was untimely filed.

After hearing the testimony, Labor recommended that its prior denial be reversed, provided that the employer pays a late fee for missing the renewal deadline by several months.

Labor recommended that the employer be sanctioned $5 per day for the first 30 days of tardiness and $50 per day for each day thereafter.

Cody said renewal applications are required to be filed on or before the last day of the existing permit.

Any applications filed beyond 30 days are denied, but the parties may appeal the denial to the Administrative Hearing Office, Cody said.

The hearing officer found that the untimely filing was the fault of the employer’s management for neglecting to supervise its own processing staff regarding Sioson’s application.

However, once PUC discovered its mistake, it took immediate steps to file the renewal, he said.