(AP) — A faith-based Delaware nonprofit says it wants to settle a lawsuit over illegal wage deductions, but the state's Department of Labor says it's moving forward with litigation after a settlement offer was rejected.

The Delaware State News reports God's Way Ministries Inc. deducted $336.50 total from three employees for violations in 2014.

The department says God's Way rejected a $5,000 settlement. God's Way founder Roger Wood says the nonprofit had offered to settle for $3,000.

Secretary of Labor Cerron Cade says the God's Way has a history of labor law violations going back to 2004, and needs to be held accountable.

The department is now seeking a $5,000 penalty for each of the three violations. Wood is holding out hope for an agreement, saying his nonprofit is being treated unfairly.