Vol. 35 No.36
       ©2007 Marianas Variety
Friday, May 4, 2007 www.mvariety.com
Serving the CNMI for 35 years
 

© 2007 Marianas Variety
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Employer barred from hiring workers due to nonpayment of OT

By Haidee V. Eugenio
Variety Assistant Editor

THE Department of Labor has barred an employer from hiring alien workers in the CNMI for three years after she failed to pay the overtime of her former house worker for three and one-half months last year.
Labor Hearing Officer Barry Hirshbein ordered Olivia A. Camacho to pay $437.50 in unpaid overtime and liquidated damages to Arceli R. Dela Cruz within 21 days from the service of a May 1 administrative order.
The employment application for Dela Cruz to work for Camacho was approved on June 7, 2005 with an expiration date of June 7, 2006.
But Dela Cruz stopped working on Oct. 19, and filed a labor complaint against Camacho, alleging unpaid overtime, failure to provide transportation and excessive verbal abuse.
According to Hirshbein, the worker established that she worked three hours of overtime per day, six days per week.
The special minimum wage for houseworkers is 96 cents per hour. The overtime rate is $1.45 per hour. The weekly overtime for 18 hours is $26.16.
“The monthly unpaid overtime is $112.50,” said Hirshbein.
The worker’s contract wage was $300 per month, but she was actually paid $350 per month.
Hirshbein said the employer is entitled to credit for the amount paid over the contract rate. He said the worker is entitled to $62.50 per month in unpaid overtime, and she worked for three- and-a-half months for Camacho for a total of $218.75.
The labor hearing officer ordered employer liquidated damages in an equal amount, for a total of $437.50.
Hirshbein granted Dela Cruz 45 days to submit an application for transfer to a new employer. Otherwise, Camacho as the employer of record shall be notified to provide a repatriation ticket within 15 days of service of a notice of employee’s failure to transfer after the 45-day period.
“Employee must depart the CNMI within 15 days after the repatriation ticket is delivered to the Department of Labor or the matter will be referred to the CNMI (Division of) Immigration,” Hirshbein said, adding that “Olivia A. Camacho is barred for a period of three years from employing or utilizing alien workers in the CNMI.”