“There are millions of dollars in documented unpaid judgments. This proves that the system is dysfunctional, yet no one will correct it,” the former Rota teacher said in reaction to Labor Deputy Secretary Cinta M. Kaipat’s recent report that Department of Labor has “closed” over 4,000 labor cases.
Kaipat also explained the limitation of the Department of Labor in relation to unpaid claims of workers and to the bonding companies that was supposed to provide an insurance plan to workers and employers.
In the commonwealth, she said, a labor case is heard by a hearing officer who issues a written opinion. The hearing officer’s decision may be appealed to the secretary of Labor who issues a written opinion.
When that process is finished, the case is completed and closed, she said, adding that Labor does not have authority to go further.
“The closure of the case is the Department of Labor’s final action,” she said.
Doromal, who is now based in Florida, said if Labor has no authority to enforce judgment, then the CNMI government should step up and decide what government agency will take the responsibility.
“The system does not work,” she added.
Kaipat said Labor has no power to collect labor awards because the authority necessary to properly enforce awards of money damages involve very substantial powers.
The Legislature, she added, decided that those extraordinary powers — to levy against bank accounts, sell property, and even jail those held in contempt — are properly limited to the courts.
“All other residents of the commonwealth look to the courts for enforcement of awards, and there is no reason why foreign workers should not do likewise,” Kaipat said.
She said the Small Claims Court acts promptly and allows petition to be filed for free, and the enforcement of labor awards may involve bonding companies who are not necessary parties to Labor’s proceedings.
