Automakers Paying $11.5M to Settle Mexican Engineers’ Claims of Job Deception

In a federal court case that gained little attention until recently, Hyundai and Kia automakers and staffing firms this summer agreed to pay more than $11.5 million—plus another $3.4 million in attorneys’ fees—to settle a class-action lawsuit brought by Mexican engineers who said they were shortchanged on the work they were recruited for.

The engineers filed suit in 2022, contending that they were recruited under the TN visa program that targets skilled engineering and technical workers. But when they showed up at the Hyundai Mobis parts plant and the Kia plant in Georgia they were assigned manual labor and assembly line work, at lower pay, in some cases.

“The plan was a bait and switch accomplished by fraud against the foreign workers and the U.S. government: hire the professional-level Mexican engineers and technicians for non-existent engineer and technician jobs; assist these engineers and technicians with securing the TN visas by submitting fraudulent documents to the U.S. government; and when the foreign workers arrive to the United States, switch the job to a manual labor job with lower and discriminatory pay and excessive mandatory work hours,” the lawsuit complaint reads.

Most of the plaintiffs will receive between $1,600 and $16,800 each, according to the settlement agreement, Law Commentary site reported.

Hyundai Mobis, Kia Georgia and other firms involved in recruiting and staffing denied wrongdoing. “No portion of this Agreement shall be construed as an admission by the Defendants to any of the Plaintiffs’ factual allegations, including any and all alleged criminal conduct,” the settlement agreement reads.

A federal judge signed off on the plan in May and it became final in July, court records show. But it was not reported by news sites until the Atlanta Journal-Constitution published an article last week.

Engineer Heber Zapata told the news site that justice has been done.

Topics Claims Talent