The U.S. Department of Labor and MDG Design & Construction LLC have reached a settlement over wage violations atthe federally-assisted 26-story Grand Street Guild rehab project in New York City’s Lower East Side. MDG and other firms involved will pay $3.8 million in back wages and fringe benefits to about 200 of MDG’s subcontractors’ construction workers.
Previous investigations led to the repayment of more than $1.1 million in back wages to 300 laborers and mechanics who worked for MDG’s subcontractors.The contractors have also agreed to expansive compliance measures to prevent future violations.
The labor department’s Wage and Hour Division found numerous Davis-Bacon and Related Acts violations by MDG subcontractors, including failure to pay required prevailing wages and submitting inaccurate or falsified payroll records to the government. As part of the settlement, MDG will retain an independent monitor for three years with responsibilities for conducting regular reviews of the company and its subcontractors to confirm compliance with applicable wage and hour laws on all prevailing wage and federally-assisted projects.
In addition to MDG, the settlement agreement includes Charis Consulting LLC, Kona Contracting LLC, as well as Michael Rooney and Nicola DeAcetis — owners of all three companies — and Neys Escobar, an owner of Kona. All of the companies are based in Huntington Station, N. Y.
Related Stories
Codes and Standards | Apr 9, 2018
U.K. business leaders call for zero-carbon buildings by 2030
Real estate, construction industry executives among those supporting the goal.
Codes and Standards | Apr 5, 2018
In Houston, proposed rules would require building above 500-year flood level
Change would impact 85,739 pieces of property.
Codes and Standards | Apr 4, 2018
New ASTM standard supports stucco use in construction
Provides way to measure tensile strength in vertical applications.
Codes and Standards | Apr 3, 2018
LEED v4.1 O+M for Existing Buildings available for beta testing
Update said to be most inclusive and transparent platform to date.
Codes and Standards | Apr 2, 2018
Experts chosen for ICC, ANCR buildings resilience benchmarks project
Specialists to focus on community preparedness for disasters.
Codes and Standards | Mar 29, 2018
Contractors have paid $5.2 million for failing local resident employee mandate on Detroit arena
Companies were only able to meet half of the 51% local worker requirement over course of the project.
Codes and Standards | Mar 28, 2018
Washington State moving to promote mass timber construction with legislation
Bill would require all 12-story or less public buildings to be built with mass timber.
Codes and Standards | Mar 27, 2018
Los Angeles appoints its first chief design officer
Responsibility for enhancing civic architecture and urban design.
Codes and Standards | Mar 26, 2018
National Roofing Contractors Assn., releases updates to its Roof Wind Designer app
Significant changes to online wind-load calculator.
Codes and Standards | Mar 22, 2018
Global construction waste to almost double by 2025
Concerns in Houston, Minnesota over environmental impacts.
