Back Wages for H-1B workers

In August 17, 2010 news release, US Labor Department reported obtaining nearly $1 million in back wages and interest for 135 H-1B workers of Smartsoft International. A Wage and Hour Division investigator determined that some employees were not paid any wages at the beginning of their employment, were paid on a part-time basis despite being hired under a full-time employment agreement, and were paid less than the prevailing wage applicable to the geographic locations where they performed their work.
The company contested the Wage and Hour Division's conclusions and requested a formal hearing with the Labor Department's Office of Administrative Law Judges. As part of this agreement, the company will drop any further challenge.
The H-1B program allows employers to hire nonimmigrant workers in specialty occupations. The law establishes certain standards in order to protect similarly employed U.S. workers from being adversely affected by the employment of the nonimmigrant workers, as well as to protect the H-1B nonimmigrant workers. Employers must attest to the Labor Department that they will pay wages to the H-1B nonimmigrant workers that are at least equal to the actual wages paid to other workers with similar experience and qualifications for the job in question, or the prevailing wage for the occupation in the area of intended employment, whichever is greater.
Source: U.S. Department of Labor