The U.S. Department of Labor reports that a federal court has ordered Bakersfield, Calif.-based Grimmway Enterprises to pay $427,456 in back wages and penalties. The DOL says this court order comes after a U.S. DOL investigation in Washington found some workers were underpaid and others were subjected to unsafe housing conditions and transportation.
The DOL says its Wage and Hour Division determined Grimmway failed to pay the correct adverse effect wage rate (AWER) to H-2A and U.S. workers. The department also says investigators found safety and health violations in the housing and transportation of workers.
The DOL adds the consent judgment, entered on June 30, in the U.S. District Court for the Eastern District of Washington, ordered Grimmway to pay $207,456 in back wages to workers as well as $220,000 in civil money penalties.
Dana Brennan, vice president of corporate affairs for Grimmway, says the company had worked with the department to address concerns, make payments and implement corrective measures.
“From the outset of the Department of Labor’s review of our H-2A program at the Pasco, Wash., location, Grimmway worked cooperatively with the department to proactively address its concerns,” Brennan says. “While we disagree with several findings, we voluntarily agreed to make payments, implement corrective measures and finalized the voluntary consent judgment terms in a timely manner, which must be court-approved due to the nature of the claims. These steps reflect Grimmway’s continued commitment to being a responsible employer and partner with our H-2A field labor contractors, and to improve our programs for the benefit of our U.S. employees and H-2A workers.”
