Staffing Industry’s Legal Wrangling Always in the Works
From immigration issues to overtime pay, the many firms that collectively comprise the staffing industry seem always to be involved in the legal process, be it for better or worse. Recent developments on this front include a Department of Labor crackdown on overtime pay, two temp agencies being indicted on various charges and a public staffing firm having a securities fraud claim dismissed in Texas. Here are some more of the details:
DOL’s Wage and Hour Compliance Initiative
The U.S. Immigration and Customs Enforcement spokesman noted that 300 workers were sent to work jobs in Ohio and that many were illegal aliens from Africa and the Middle East. The companies in question are HV Connect Inc, of Philadelphia, PA and Canton, OH and TN Job Service, Inc., which also has offices in both Pennsylvania and Ohio.
Securities Suit Rejected by District Court
Administaff Inc., the nation’s largest Professional Employer Organization (PEO), has recently had a motion to dismiss securities fraud claims dismissed by a district court judge in the southern district of Texas. A class action lawsuit filed during June, 2003 alleged that the company had made fraudulent claims about health plan costs in 2001 and 2002.