The U.S. arm of a Chinese auto manufacturer recently paid a small financial penalty after the resolution of an investigation into its payment practices.

The California Labor Commissioner's office ended up getting a settlement of about $1,900 after the organization proved the manufacturer had paid workers more than the minimum wage, but had done so using Chinese currency, according to Reuters. The workers were Chinese nationals in the country on temporary work visas. The company is still facing allegations of providing incomplete pay records as well as possible violations of a state law regarding periods of rest for employees.

The workers paid in Yuan instead of U.S. dollars were found to have been compensated at a rate between $12 and $16 per hour, well above the California state minimum wage of $8 - which prevails over the lower federal standard of $7.25. Payment in a foreign currency is a rather unusual step for companies to take, creating complications with pay records as well as regulatory authorities.

All organizations should consider using employee management software that records all the information required by law and maintains sufficient histories of pay and hours worked.

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