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Feds announce settlements with two staffing firms

August 15 2013

A Denver staffing firm and hotel agreed to pay $55,691 in back wages, the U.S. Department of Labor announced Wednesday. Separately, a staffing firm agreed to pay $9,157.50 in back pay after the firm required an immigrant worker to produce a Department of Homeland Security Employment Authorization Document.

The Denver case included Xclusive Staffing of Denver and 1750 Welton Street Investors LLC, which does business as Grand Hyatt Denver. The two companies agreed to pay $55,691 in back wages to 52 workers after the department found violations of minimum wage, overtime and record-keeping provisions of the Fair Labor Standards Act.

In addition, Xclusive must pay $3,520 in civil penalties and the buyer must pay $7,920 in civil penalties.

The staffing agency provided room attendants at the Grand Hyatt. The department reported workers were not paid for time spent working before and after their scheduled shifts. Employees also did not receive pay for meal breaks.

Xclusive was also found in violation of the Fair Labor Standards Act at a recent investigation of the Gaylord Texan Resort and Convention Center in Grapevine, Texas, the department reported.

Separately, the Justice Department reported SOS Employment Group in Salt Lake City agreed to pay $9,157.50 in back wages and $1,200 in civil penalties after requesting a legal immigrant produce a DHS Employment Authorization Document. The worker had already produced a valid driver’s license and unrestricted Social Security card, and the agency said requesting the DHS document violated the anti-discrimination provision of the Immigration and Nationality Act.

“The INA’s antidiscrimination provision requires that the statute’s employment eligibility verification requirements be implemented in a nondiscriminatory manner without regard to citizenship status or national origin,” said Jocelyn Samuels, acting assistant attorney general for the civil rights.

SOS was acquired by Elwood Staffing in February.


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