Ruling out in Labor case being disputed by company since ’07

Superior Court associate judge David A. Wiseman yesterday issued a ruling in a labor case that a company has been fighting against since 2007.

Wiseman affirmed the Labor secretary’s decision that upheld a Labor administrative hearing office’s order that found the company Great Sunshine Corp. not financially able to meet the obligations of employment contracts for seven alien workers.

Wiseman determined as proper the administrative hearing office’s determination that the company was not able to meet the financial obligations of the employment contracts.

The judge also found proper Labor’s administrative hearing office’s determination to deny transfer relief for company manager Dan Li.

According to records, Great Sunshine Corp. operated a gift shop and karaoke bar in Garapan, Saipan. It employed 15 persons prior to this labor case arising.

Great Sunshine reported losses for fiscal year 2007, yet appeared to be employing a large number of employees despite the type and volume of business it conducted.

In 2007, Great Sunshine submitted applications to the CNMI Department of Labor to employ, renew, or transfer seven nonresident workers: Dong Shun Chen, Jin Ling Guo, Yang Liu, Han Wei, Ying Jun Zhang, Li Xiu Zhu, and Dan Li.

In February 2008, Labor denied the applications, citing a lack of sufficient income to justify the employment of the seven workers. Great Sunshine and the workers appealed the denial.

In May 2009, Labor’s administrative hearing officer determined that the denials were appropriate given the company’s insufficient funds.

The hearing office granted relief for four of the workers, but denied transfer relief to Great Sunshine manager Dan Li based on his questionable management of company fiscal affairs and prolonged absence from the CNMI.

In June 2009, Great Sunshine appealed the decision to the Labor secretary, who later affirmed the denial order.

Great Sunshine filed in August 2009 a petition for judicial review before the Superior Court.

In affirming Labor’s order, Wiseman said that Labor’s administrative hearing office found, based on the evidence presented, that Great Sunshine was operating at a loss and was not financially sustainable.

Wiseman said the Labor administrative hearing office was suspicious of possible illegal or improper activities in the management of Great Sunshine.

“Because transfer relief is entirely discretionary and no right to transfer exists, the denial of Li’s transfer was supported by substantial evidence and not improper,” the judge said.