Hyundai Mobis and Kia Georgia Settle Recruitment Fraud Lawsuit for $11.5 Million: Are You Eligible for Payment?

A federal judge in Georgia has approved an $11.5 million class action settlement resolving allegations that auto giants Hyundai Mobis and Kia Georgia, alongside staffing and recruiting agencies, lured skilled Mexican professionals to the U.S. under false pretenses and forced them into manual factory labor.

The court’s final approval puts an end to a 2022 lawsuit representing more than 600 workers who say they were trapped in a classic “bait-and-switch” scheme. If you worked at a Kia Georgia or Hyundai Mobis facility in West Point, Georgia, under a TN visa, you may be eligible to receive a significant financial payout.

What Led to the $11.5 Million Class Action Lawsuit?

The lawsuit, Martinez v. Mobis Alabama, LLC et al., filed in the U.S. District Court for the Northern District of Georgia, centered on the treatment of skilled workers brought to the U.S. from Mexico under temporary TN visas. Created under the North American Free Trade Agreement (NAFTA) and continued under the United States-Mexico-Canada Agreement (USMCA), TN visas allow qualified Mexican and Canadian professionals to work in specific high-skilled positions, such as engineering and specialized technical roles.

According to court filings, recruiting agencies—including GB2G Inc. (doing business as Allswell), SPJ Connect Inc., and Total Employee Solution Support (TESS)—offered positions like quality control engineer, logistics engineer, and maintenance technician with promised annual salaries ranging from $35,000 to $40,000.

However, once the workers arrived at the West Point, Georgia manufacturing plants, they were allegedly forced onto assembly lines to perform repetitive manual labor—work explicitly excluded from the scope of a professional TN visa.

Workers Allege Systemic Exploitation, Overtime Violations, and Retaliation

Beyond the misleading job duties, plaintiffs claimed they were subjected to grueling working conditions, including 12-hour shifts and alternating five- and six-day workweeks. The lawsuit alleged that workers were denied proper overtime pay required by the federal Fair Labor Standards Act (FLSA).

Because TN visa holders are legally tied to the specific employer and job approved in their application, workers who realized they had been tricked found themselves in a precarious situation. When employees complained about their actual job responsibilities or tried to seek alternate employment, company representatives allegedly threatened them with deportation.

The workers successfully asserted claims under the federal Racketeer Influenced and Corrupt Organizations (RICO) Act and Georgia state racketeering laws, arguing the employers operated a coordinated, fraudulent scheme to secure cheap factory labor.

Understanding the Legal Context: TN Visas, RICO, and the FLSA

This case underscores critical legal protections designed to keep employers accountable when hiring international professionals:

• TN Visas (USMCA/NAFTA): Designed strictly for professional-level occupations requiring specialized degrees or credentials. Using the visa program to supply general factory or assembly-line labor circumvents federal immigration laws.

• Fair Labor Standards Act (FLSA): Federal law guarantees that non-exempt workers receive overtime pay at one and a half times their regular rate for any hours worked beyond 40 in a single workweek.

• Civil RICO Claims: The Racketeer Influenced and Corrupt Organizations Act permits private civil lawsuits when companies engage in an ongoing pattern of racketeering activity, including mail and wire fraud involved in deceitful hiring schemes.

“It’s a result we’re proud of,” said Brian Sutherland, an Atlanta-based civil rights attorney who represented the group of workers. “We hope this sends a signal to other employers that the costs of engaging in alleged fraudulent schemes like this can far outweigh any potential benefit they may think they’re going to derive from it.”

The defendants—including Kia Georgia, Hyundai Mobis, Allswell, and SPJ Connect—denied all allegations of criminal conduct, fraud, or wage theft, agreeing to the $11.5 million settlement strictly to avoid the delay and expense of further litigation.

Who Is Eligible for a Payment from the Hyundai-Kia Settlement?

You may be eligible to receive a financial cash payout from the settlement if you meet all of the following criteria:

• You held a temporary TN visa at any time between August 11, 2019, and the settlement date.

• You were recruited by Total Employee Solution Support LLC (TESS), SPJ Connect Inc., or GB2G Inc. (d/b/a Allswell).

• You were assigned by Allswell to perform work at either Mobis Alabama LLC (d/b/a Hyundai Mobis) or Kia Georgia Inc. at their West Point, Georgia locations.

• You received wages paid directly by Allswell for your work.

The settlement covers an estimated 614 individuals who meet these requirements.

How Much Cash Could You Receive from the Settlement Fund?

The $11.5 million fund provides two distinct types of compensation for qualifying class members: wage violation payments and recruitment fraud payments.

1. FLSA Wage Loss Payment

• Every eligible worker will receive $30 for each week worked at the Hyundai Mobis or Kia Georgia plants between August 11, 2019, and the settlement date.

• With an average assignment length of 54 weeks, the average FLSA payment is approximately $1,672 per worker.

2. Rule 23 Recruitment Fraud Payment

Class members are also assigned to one of four payout groups depending on the total days worked and the start date of their assignment:

• Group 1 (1 to 60 days worked): Base payout of $4,112.50.

• Group 2 (61 to 120 days worked): Base payout of $8,000.00.

• Group 3 (121 to 400 days worked): Base payout of $16,800.00 (reduced by $2,500 for those assigned after December 31, 2023).

• Group 4 (More than 400 days worked): Base payout of $11,100.00 (reduced by $2,500 for certain members assigned after December 31, 2023).

Eligible class members are entitled to receive both the FLSA wage portion and the recruitment fraud distribution.

“I want all workers, especially TN workers, to know that it is possible to take action against employers and win justice. All workers have rights, no matter which country we are from. We are human beings and deserve to be treated with respect. I hope this case and this settlement inspires others to speak out against labor violations,” said Isidro Arellano, one of the primary named plaintiffs.

How to File Your Claim and Receive Your Payout

United States District Judge Leigh Martin May granted final approval to the settlement, establishing a clear process for affected workers to claim their funds.

To collect your payout, you must submit a completed Settlement Distribution Form to the court-appointed Settlement Administrator.

• Filing Deadline: All required distribution forms and identifying documentation must be submitted or postmarked no later than January 8, 2027.

• Information Needed: You will need to provide your full legal name, contact details, date of birth, Social Security Number or ITIN (if applicable), and statement of U.S. residency status.

• Payment Methods: You can elect to receive your distribution via direct interbank electronic transfer (preferred for U.S. accounts), international wire transfer, or paper check delivered by U.S. First Class Mail or FedEx/UPS.

When big corporations take advantage of job seekers or break employment laws, everyday people often feel powerless to stand up to them. Lawsuits like Martinez v. Mobis Alabama prove that workers can demand fairness, hold major companies accountable, and recover the money they earned.