Elvis Moodie, et al. v. Kiawah Island Inn Company LLC

Case Number

2:15-cv-1097-RMG

After an exclusive island resort near Charleston, South Carolina, cheated Jamaican guest workers out of their wages over three years, the SPLC sued the resort, which had earned accolades from travel publications and boasted a golf course that hosted the 2012 PGA Championship.

The Kiawah Island Golf Resort did not reimburse the workers for hundreds of dollars in recruitment fees that they each paid – as required under the federal H-2B guest worker program. These expenses pushed the wages of the workers below the minimum level required by the program.

The resort also charged the workers excessive fees for employee housing and transportation, and ignored a wage increase mandated by the U.S. Department of Labor (DOL). The guest workers – who worked as housekeepers, servers, bell persons and in similar positions from 2012 through 2014 – were housed in an apartment complex an hour from the resort and bused to the island.

The H-2B program allows employers to hire temporary foreign workers only when they certify that they cannot find enough local workers to fill their needs. Employers are required to pay a “prevailing wage” that the DOL has determined will not have an adverse impact on U.S. workers.

Even before the workers arrived at the resort, they incurred expenses that were never reimbursed by the resort, as required by law, such as the costs for guest worker visas and transportation from Jamaica. These two expenses totaled more than $600 per guest worker per year.

As a result of the travel costs and the various fees, the guest workers’ wages fell below the minimum pay required under the Fair Labor Standards Act and below the mandatory H-2B wage set by the federal government. The resort also failed to increase their wages during the 2013 season as required by the DOL. These changes would have meant raises up to an extra $2.20 an hour for certain positions.

Kiawah Island Golf Resort is a lavish tourist destination. When the SPLC filed suit in 2015, rooms at the resort’s The Sanctuary hotel ranged from $600 to more than $1,000 per night. It had five golf courses, including The Ocean Course, site of the 2012 PGA Championship and 1991 Ryder Cup. Its website listed a number of honors: Condé Nast Traveler named the island as the No.1 island in North America and the No. 2 island in the world; Golf World magazine named it the top resort in the United States; and Forbes Travel Guide honored its hotel with The Forbes Five-Star Award.