Resto found liable for worker’s back wages

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Posted on May 03 2006
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The Department of Labor has found an owner of a restaurant that was burned liable to pay its guest worker $5,612 in back wages and liquidated damages.

Labor administrative hearing officer Barry Hirshbein ruled that respondent American R.F. Corp. is obligated to pay its worker, Ting Wang, for unpaid wages in the amount of $2,806 plus liquidated damages in the equal amount for a total of $5,612.

“Failure to pay wages was willful and liquidated damages are warranted,” Hirshbein said.

The hearing officer determined that Wang is not at fault in this matter and therefore entitled to transfer relief to another employer.

He granted Wang 45 days to submit an application for transfer to a new employer.

“If the complainant fails to submit a timely application for transfer, the employer of record shall be notified to provide a repatriation ticket within three days of service of notice of employee’s failure to transfer,” Hirshbein said.

In the event that American R.F. Corp. does not pay as ordered, an insurance company shall, upon notice, deliver the proceeds of the Labor bond (unpaid wages) to the Labor director for the benefit of the worker, he said.

In the alternative, the hearing officer said, the insurance company may request a hearing on the question of why it should not be required to do so.

Labor records show that American R.F. Corp. submitted an application to employ Wang in September 2005.

Wang arrived on Saipan on Nov. 8, 2005. Wang then learned that the employer’s restaurant had burned down.

Wang was provided food and housing and told to perform housekeeping chores, but never received any wages.

In his order, Hirshbein said the total of unpaid wages for the period from Nov. 8, 2005 through the date of hearing (23 weeks) is $2,806.

He noted that evidence suggests that the corporation is no longer conducting business in the CNMI.

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