SAN DIEGO (Border Report) -- The U.S. Department of Labor has recovered more than $1.4 million for 36 Mexican engineers employed by a subsidiary of General Dynamics, a defense contractor in San Diego. The company was found to be paying the engineers in Mexican pesos and below the federal minimum wage rate in violation of the Fair Labor Standards Act.  National Steel and Shipbuilding Co. (NASSCO), one of three shipyards in the Marine Systems group of General Dynamics that designs and builds ships for the U.S. Navy, was found to be in violation of the L-1B visa program.  Biden admin to add almost 65K worker visas to remainder of fiscal year This program enables employers to transfer professional employees with specialized knowledge from affiliated foreign offices to U.S. work locations. The engineers were reportedly brought to San Diego from a General Dynamics branch in Mexicali, Mexico, to install power plants, engines and machinery in ships' interiors. Labor Department investigators learned NASSCO paid the engineers in pesos, at Mexican pay rates, to work an average of 42 hours or more weekly. They also determined the employer "wrongfully treated the traveling workers’ per diem and lodging costs as wages and did not maintain accurate time records for them." NASSCO has been ordered to compensate the 36 engineers with $719,135 in unpaid minimum and overtime wages, plus an equal amount in liquidated damages, according to a Labor Department news release. “General Dynamics NASSCO brought these specialized workers from Mexico to San Diego to build vessels for the U.S. Navy but failed to follow the federal wage regulations that protect anyone working in the U.S.,” explained Wage and Hour Division District Director Min Park-Chung in San Diego. “The Wage and Hour Division works closely with the Consulate General of Mexico in San Diego to educate Mexican nationals about their rights as workers in the U.S. and ensure those who employ them understand and comply with the law.” Inspectors are supposed to visit all farmworker housing to ensure its safety, but some used FaceTime In addition to paying the engineers their back wages and damages, the Labor Department says NASSCO signed an enhanced compliance agreement that bars it from future federal labor law violations. The company also reportedly agreed to train employees who manage and supervise foreign workers with non-immigrant visas. NASSCO must also provide notice to employees of their rights under FLSA and the Walsh-Healey Public Contracts Act. Visit the BorderReport.com homepage for the latest exclusive stories and breaking news about issues along the U.S.-Mexico border NASSCO is headquartered in San Diego and operates shipyards in Norfolk, Virginia; Bremerton, Washington; and near Jacksonville, Florida. Its parent company, General Dynamics, is an aerospace and defense contractor employing more than 100,000 people worldwide and generated $42.3 billion in revenue in 2023.