This Staffing Company Slapped With Rs 2.5 Crore Penalty For Not Paying H1B Employees In US
The laws of the United States are stringent when it comes to matters like underpayment of employees than a defined market rate.
Oftentimes, staffing companies or some agency hire a lot of foreign employees via H-1B visa policy and procure them to the U.S. but fail to pay them the minimum market wage.
One such company, called the Savantis Solutions has been discovered by the concerned US bodies to have committed H-1B related wage distribution violations.
On this note, the company is now required to pay USD 345,000 in order to resolve all such allegations.
Savantis Solutions to Practice Unfair Payment Regime since 4 Years
Savantis Solution, a New-Jersey based staffing company has been hiring and bringing bulks of foreign nationals from India on the H-1B work visa, to the U.S.
The US Immigration and Customs Enforcement (ICE) found that from January 2014 through June 2018, Savantis (originally known as Vedicsoft Solutions) did not pay its H-1B visa employees the required wage rate throughout their period of employment, at desired intervals.
According to Livemint, the federal agency also found out that the New-Jersey based company did not pay its employees in conformance with their applications to the federal government and federal regulations.
Savantis to Pay a Sum of USD 345,000
Savantis is known to have charged a security deposit sum from the recruits, before having them submitting their applications.
This comes under unfair means of H-1B visa holder recruiting.
On this record, ICE’s Homeland Security Investigations (HSI), the Department of Labour and the US Attorney for the District of New Jersey has ordered Sevantis Solutions to pay a sum of USD 345,000, in adherence to allegations against H-1B related violations.
This sum will be used to pay back current and former employees of the company, along with an interest amount.
The order has also added the company to hire an outside law firm, which would monitor its proper follow-ups to compliances and regulations for the next 3 years.