Wisconsin company must pay $1M in back wages to defrauded foreign workers

The house owners of a Wisconsin timber firm who lied to staff from Mexico and Central America about the place they’d work and the way a lot they’d earn should pay greater than $1 million in again wages and civil penalties. 

Alfredo Aguilar, who co-owns Northwoods Forestry, Inc. together with his spouse Patricia Aguilar, pleaded responsible to 1 rely of fraud, in line with the U.S. Lawyer’s Workplace in Madison. 

The plea settlement states that between 2015 and the top of 2018, Aguilar recruited staff from Mexico and Central America by means of the federal H-2B visa program. Aguilar made statements to the U.S. Division of Labor and U.S. Citizenship and Immigration Companies that the recruits would work in forestry jobs in Wisconsin, Maine, Minnesota and New Hampshire.

As an alternative, these staff have been positioned in meat packing, building, roofing, agriculture and landscaping jobs. Aguilar admitted he informed the H-2B staff they might legally work in these fields when he knew that wasn’t true.

Aguilar additionally admitted that Northwoods Forestry paid lower than prevailing wage charges, didn’t pay time beyond regulation and illegally deducted fees for transportation and security gear from staff’ wages. 

U.S. Division of Labor District Director of the Wages and Hour Division, Kristen Tout, informed Wisconsin Public Radio there have been discrepancies between the wages promised in federal H2B filings and people staff finally acquired. 

“In the midst of hiring and in paying these staff who arrived with their H-2B visa to carry out Forest Service work, there is a potential then that they’d be shortcutting them for the work they really carried out,” Tout mentioned. 

The Division of Labor investigation additionally centered on A&C Forestry Companies LLC in Eau Claire, which is owned by an worker of Northwoods Forestry. A&C Forestry Companies additionally positioned overseas staff, recruited by Aguilar, in non-forestry associated jobs.  

Aguilar declined to touch upon the findings or plea settlement when reached by WPR. 

As a part of Aguilar’s plea, the corporate pays $1.1 million in again wages and a civil penalty of $210,696. 

Tout mentioned her workplace has already acquired calls from affected staff. 

“We’re beginning to hear from staff,” Tout mentioned. “And that basically is our final objective, to make sure that this cash will get into the palms of the individuals who earned it.”

Based on the U.S. Division of Labor, 263 staff have been victimized by the scheme. 

Aguilar is scheduled for sentencing on April 19. 

Northwoods Forestry beforehand violated the H2-B visa program rules in 2009, 2011 and 2013 with 4 contracts in Michigan, Minnesota, Pennsylvania and Wisconsin. The corporate was ordered to pay a complete of $18,344 in again wages and $23,174 in civil penalties in these instances. 

Based on the newest knowledge from the Wisconsin Division of Workforce Growth, there have been a report 7,020 overseas people working in Wisconsin below federal H2-B contracts in 2021.