Fighting Wage Suppression for Childcare Workers on Au Pair Visas: Beltran, et al v. Interexchange, Inc., et al

Overview

Towards Justice attacks systemic injustices that undermine the bargaining power and working conditions of marginalized workers. In 2014, Towards Justice filed a case on behalf of a nationwide class of tens of thousands of childcare workers who worked in the U.S. on J-1 au pair visas. They brought claims of price fixing, racketeering, and wage theft against fifteen U.S. Department of State-designated “cultural exchange” sponsor organizations. Plaintiffs charged that these sponsors acted as a cartel to illegally set au pair wages far below the market rate and that some sponsors fraudulently misled potential au pairs in violation of racketeering and consumer protection laws. The plaintiffs prevailed on several threshold legal issues and certified a class of tens of thousands. On the eve of trial, the plaintiffs announced that they had entered into a settlement with the defendants that would require the payment of $65.6 million in damages and several changes in the industry. Towards Justice represented the plaintiffs with co-counsel Boies Schiller & Flexner LLP. In 2019, the Court approved the settlement.