A Silicon Valley company kept its foreign workers underpaid by paying them only $1.20 per hour and forced them to work for 120 hours weekly. The Silicon Valley company is specialized in manufacturing electronics for imaging. The Silicon Valley company hired 8 foreign workers from Bangalore, India, after a 9,000 miles flight to California, only to underpay them.
The foreign workers were hired to move the computers built by the Silicon Valley company called Electronics for Imaging. Their job was to move the computers from the old headquarters building in Foster City to the new building in Freemont, California.
The foreign workers hired by the Silicon Valley company were under a three-month contract that said their salary will be the equivalent of $1.20 per hour for 120 hours per week.
The United States department of Labor was called in and after the officials analyzed the situation, they described it as being “Worse than anything that I ever saw in any of those Los Angeles sweatshops.”
The Department of Labor discovered that the foreign workers were overworked for more than 122 hours a week without ever being paid for overtime, as the law so clearly mentions.
According to the Department of Labor, the minimum wage per hour applicable in the state of California is of $8. The foreign workers were way below this minimum sum as they were paid $1.21.
The Silicon Valley company tried to defend itself saying that they “unintentionally overlooked” the laws that required foreign workers to be paid the minimum wage. The company also overlooked the fact that any worker should be paid overtime should they exceed 40 hours of working time in a week.
After the investigation, the Silicon Valley company was ordered to pay the foreign workers more than $43,000 in penalties and wages.
Michael Eastwood, the assistant district director for the Department of Labor said that the Silicon Valley company that kept its foreign workers underpaid is a pretty successful company which earned $109 million last year.
What do you think of the fact that more and more foreign workers underpaid by American companies? Leave your comments in the section below.