The department warned “harsh penalties” will be meted to parties involve in a sponsorship scheme, including a ban from hiring foreign workers.
Administrative Hearing Officer Barry Hirshbein fined employer Ignacio C. Agbanlog Jr. of $5,000, and barred him from hiring alien workers, including any of the corporation of which he is an officer, board member, partner or limited liability corporation member.
The entry permits of all of Agbanlog’s workers were also revoked and asked his workers to immediately report to Labor office for transfer or repatriation.
Hirshbein ordered that employee Rogelio O. Sexon be awarded $936.46 of his unpaid wages, $500 for his payment of Labor processing and related fees.
At the same time, Sexon was also fined $500 for violating the labor laws was denied transfer relief.
Hirshbein said Sexon will be repatriated and barred from seeking future employment as foreign national worker in CNMI.
The order also revoked the entry permit of Maria Joyce Bea, the de facto employer who accommodated the employment of Sexon. She was denied transfer relief, barred from future employment in the CNMI and is facing repatriation.
Investigation showed, Sexon filed in April a complaint alleging his employer of improper payment of wages.
Sexon testified his employer had financial problems and that he paid for his labor processing fees, medical examination, surety bond, bounced check fee, and medical certificate, Hirshbein said.
Hirshbein said Bea testified that she was approached in February by Elizabeth Bergano, Sexon’s girlfriend, to ask if she can help Sexon to find a work.
He said Bergano begged her to hire Sexon despite knowing that there would be no regular work and that the employer would only be able to pay for work actually performed.
“Bea testified that this was a sponsorship hiring. She testified that the business could not support another worker. It is extremely unlikely, under these circumstances, that the employer would spend the fees for employment,” Hirshbein said.
During the investigation, the Labor Department found out that employer was a subject of five labor complaints in the past year.
“In this case, employer admitted serious misconduct. That misconduct exposes employer to significant penalties. Virtually all the testimony of the employee and Bergano was self serving and unbelievable in the context of the obvious facts of the case. It is clear that this was a ‘sponsorship’ relationship,” Hirshbein said.
