DOL pulls the plug on illegal practices in Silicon Valley

Bloom Energy, a clean-energy power generating systems manufacturer, might be tied to big names like Wal-Mart, Coca-Cola and Google, but it doesn't function on such a grandiose scale where its payments for time and attendance are concerned.

The Department of Labor's Wage and Hour Division recently investigated the facility and discovered the employer was underpaying employees brought in from Chihuahua, Mexico, to perform work refurbishing power generators.

Perhaps minimum wage got lost in translation, but the Department of Labor felt the company should know better than to pay its Mexican employees in pesos - it was discovered that Bloom Energy was issuing these imported laborers Mexican currency that equated to $2.66 per hour. This is far below the $7.25 base pay required in the Fair Labor Standards Act.

"It is appalling that this was happening right in the heart of Silicon Valley, one of the wealthiest per capita areas in the U.S.," said WHD regional administrator in the west, Ruben Rosalez. "The department remains vigilant in protecting the rights of vulnerable workers and to ensuring they are paid the wages they have rightfully earned. This case demonstrates our commitment to making that happen."

To remedy the violations, the DOL has ordered Bloom Energy to pay 14 affected workers $31,922 in back wages.


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