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SPLC lawsuit recovers guest worker wages, wins important ruling

A federal judge this week ordered a Gulf Coast seafood company to pay $30,000 to 18 guest workers whose wages were pushed below the minimum wage by their employer, resolving one of the claims in an SPLC lawsuit.

In a separate order last week, U.S. District Judge William H. Steele ruled that guest workers who faced retaliation after suing their employer, R&A Oyster Company, can take action under the Fair Labor Standards Act (FLSA).

“These important rulings send a clear message that guest workers have rights and that the law will protect them from retaliation when they stand up for those rights,” said Meredith Stewart, SPLC staff attorney. “Too often, they’re viewed as disposable workers who have little recourse when they’re cheated or exploited.”

Revoking future visas, or work opportunities, is one of the most common forms of retaliation faced by guest workers when they attempt to defend their rights. After the lawsuit was filed in 2014, some of the plaintiffs – who shucked and processed oysters in Mobile County, Alabama – took action to withdraw from the suit when they were told they would no longer receive guest worker visas.

Earlier, when R&A threatened to rescind employment offers, the court granted a protective order that required the company to notify the affected plaintiffs that their future employment should not be threatened by their participation in the lawsuit. The latest ruling was issued as the court denied a motion by R&A to dismiss claims in the lawsuit.

The lawsuit’s remaining claims, which are still pending, describe how the company failed to pay the prevailing wage for the area, as required under state contract law, and how the company revoked the promise of future visas from seven plaintiffs after the lawsuit became public.

The back wages awarded to the plaintiffs will be distributed to 18 guest workers who came from Mexico with the guarantee they would not be paid less than the federal minimum wage and the prevailing wage mandated by the H-2B program.

Even before they arrived at their jobs, they incurred expenses – such as the costs for guest worker visas and transportation from Mexico – that were never reimbursed by the company. They were also required to pay for their own equipment, including oyster knives, overalls, gloves and boots. As a result, their wages fell below the minimum pay required by the FLSA and below the mandatory wage for H-2B guest workers set by the federal government.

The lawsuit was filed in the U.S. District Court of the Southern District of Alabama, Southern Division.