The U.S. Department of Labor has penalized a father and daughter from Snow Hill, North Carolina, with $166,000 in fines for extensive violations of federal regulations under the H-2A program. Reymundo Pérez Guzmán and Yadira Pérez Gamas have been banned from participating in the federal program for three years.
According to the Wage and Hour Division of the department, Reymundo Pérez Guzmán previously faced civil penalties amounting to $9,336 for multiple violations while operating as an unregistered farm labor contractor. Investigations revealed that he conducted business under his daughter's name.
Yadira Pérez Gamas applied to hire temporary workers through the H-2A program while her father managed operations including hiring workers for harvesting crops like cucumbers, sweet potatoes, and tobacco. He also owned and operated worker camps housing these employees. The division found that workers were illegally sent outside approved contract terms to other locations.
“The H-2A temporary agricultural program provides American farmers with needed workers to harvest crops and help businesses succeed. When employers like Reymundo Pérez Guzmán and Yadira Pérez Gamas break laws for personal gain, they will be held accountable,” stated Richard Blaylock, district director of the Wage and Hour Division in Raleigh, North Carolina.
The investigation highlighted several violations including failure to reimburse transportation costs fully, improper shifting of visa fees onto workers, underpayment below required wage rates by nearly $4 per hour, inaccurate recording of work hours and wages, lack of pay stubs provision, and missing records for non-agricultural work weeks.
Reymundo Pérez Guzmán faces $85,350 in civil penalties while Yadira Pérez Gamas was fined $81,084 due to numerous breaches of the H-2A program rules and the Migrant and Seasonal Agricultural Worker Protection Act.
The division also noted unlawful overtime exemption claims when workers were employed beyond their contracts in landscaping or recycling facilities resulting in Fair Labor Standards Act overtime violations. Consequently, $73,094 was recovered in back wages for 30 workers.
“This case revealed a troubling disregard for law and worker safety. These employers assumed they could hire fieldworkers then redirect them elsewhere without proper compensation,” added Blaylock.
Between fiscal years 2022-2024, 74 investigations within North Carolina's agricultural sector identified violations in 84% of cases leading to over $1 million recovered in back wages across nearly 1300 affected workers statewide.
In fiscal year 2024 alone, outreach events educated more than 3,800 stakeholders about compliance requirements through resources like a compliance assistance toolkit available via hotline services offering multilingual support across over 200 languages.
For further information on back wages owed or general inquiries regarding wage compliance laws contact their toll-free line at 866-4US-WAGE (487-9243).
