Aside from a $1,000 penalty, Mohammed Abu Munshi, proprietor of SM Auto Shop, was also ordered to pay $8,700.75 in unpaid wages, compensatory damages and reimbursement of unlawfully collected processing fees to his employee Danilo C. Jacolbe, who was granted transfer relief by Labor.
In the administrative order dated June 24, Hearing Officer Jerry Cody said Munshi failed to pay full wages to Jacolbe for work actually performed.
Munshi also failed to provide a full 40-hour per week of work to his employee, and to pay wages on a biweekly basis.
Cody said Munshi unlawfully deducted processing fees from Jacolbe and violated the CNMI Labor Code by failing to keep and maintain written time and payroll records.
Jacolbe was hired as an auto body repairer under a conditional grant of transfer approved on Nov. 6, 2008 and valid for one year.
According to Cody, SM Auto Shop agreed to provide a minimum of 40 hours per week of work to Jacolbe at a rate of $4.50 per hour.
In Oct. 2008, prior to submitting the permit application, Munshi informed Jacolbe that he, the employee, would be required to pay for half of the costs to process the employment application.
The employer deducted from Jacolbe’s salary the processing fee payment.
From Oct. 17, 2008 to March 7, 2009, Munshi offered only part-time work to Jacolbe.
The employer, Cody said, would call Jacolbe to work at the auto shop on a particular vehicle.
When a project was finished, Munshi would instruct Jacolbe to go home and wait for his next assignment.
Cody said during the employment, Munshi never kept any record of the number of work-hours of his employee but Jacolbe kept his own record.
Munshi also did not pay wages to Jacolbe on a regular basis, Cody said.
From Oct. 17, 2008 to March 7, 2009 Jacolbe was supposed to earn $1,890 in wages for hours actually worked but was paid $1,253.25 only.
