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DOL News Release on Prevailing Wage Recovery
9/30/2009

272 Employees are entitled to more than 1.5 million in back wages due to violations of the Service Contract Act.

News Release

ESA News Release: [09/30/2009]
Contact Name: John M. Chavez
Phone Number: (617) 565-2075
Release Number: 09-1205-BOS

U.S. Labor Department recovers more than $1.5 million in back wages for 272 contract employees of USCIS Vermont Service Center

BOSTON — The U.S. Department of Labor has recovered more than $1.5 million in back wages for 272 employees of SI International SEIT Inc., a contractor for the U.S. Department of Homeland Security's U.S. Citizenship and Immigration Services (USCIS) Vermont Service Center, at various locations in St. Albans and Essex Junction, Vt.

SI International SEIT Inc., a wholly-owned subsidiary of SI International Inc., employed workers at the Vermont Service Center under federal service contracts subject to the McNamara-O'Hara Service Contract Act's prevailing wage provisions. Following an investigation, the Labor Department's Wage and Hour Division cited the company for misclassifying employees and failing to pay them the proper prevailing wage rates for the type of work they were actually performing.

"I am pleased that these workers finally will be properly compensated for the work they performed for SI International," said Secretary of Labor Hilda L. Solis. "The laws governing prevailing wages on federal contracts provide important protections for workers, and the Labor Department will continue to ensure companies performing work for the federal government are held to these standards."

The company agreed to pay a total of $1,559,978 in back wages to the 272 workers. Payment is to be made by Oct. 31, 2009, and proof of payment is to be provided to the Wage and Hour Division by Nov. 30, 2009.

The McNamara-O'Hara Service Contract Act requires contractors and subcontractors performing on federal service contracts in excess of $2,500 to pay service employees no less than the wage rates and fringe benefits found prevailing in the locality for the classification of work that they perform.

For more information about the provisions of the McNamara-O'Hara Service Contract Act, call the Department of Labor's toll-free helpline at 866-4US-WAGE (487-9243) or visit the Wage and Hour Division's Web site at http://www.wagehour.dol.gov.

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