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New York refunding illegal employment fees

July 09, 2009

The New York City Department of Consumer Affairs announced last week it received $40,000 in restitution from employment agencies that charged illegal fees. The department is reaching out to city residents who paid the illegal fees and may be eligible for a refund of as much as $100.

The restitution stems from inspections last year by the department that found 244 violations at 322 agencies inspected.

Employment agencies can charge a fee only for placing a person in a job and cannot charge fees for applications or interviews, according to the department. Agencies may collect an advance fee in some cases, but consumers have a right to a refund if they end their contracts before the agency finds them a job.