Mid-America Carpenters Union Helps Secure $500,000 Payout for Construction Workers Cheated Out of Fair Wages By Illinois Contractor

CHICAGO, Oct. 7, 2022 /PRNewswire/ -- The Mid-America Carpenters Regional Council (MACRC) today announced a major victory in the fight against wage theft and tax fraud in the building trades. Acting on information provided by the MACRC, the Illinois Department of Labor is requiring a bulk storage contractor to pay nearly $500,000 back to its workers for failing to meet state-certified prevailing wage and benefit rates.

The case involves Beecher-based Bulk Storage, Inc. which specializes in bulk storage structures for salt, sand, and fertilizer. The Illinois Department of Labor (DOL) reached a settlement with Bulk Storage ordering the company to provide back pay to their employees after the MACRC filed charges alleging multiple violations of the Illinois Prevailing Wage Act. The charges stem from Bulk Storage projects funded with taxpayer dollars. Some of the projects where Bulk Storage was caught paying less than prevailing wage include a storage dome facility for the City of West Chicago, a salt barn for Dundee Town Road District, and a public works building for Elk Grove Village.

Under DOL's terms, Bulk Storage is forced to pay its workers an additional $483,828, plus $85,000 in penalties to the DOL.

"Wage theft and the loss of tax revenue hurts us all," said MACRC Executive Secretary-Treasurer Gary Perinar. "It exploits workers, many of whom are unaware of their right to receive fair wages and benefits to support themselves and their families. It puts signatory union contractors at a disadvantage against unscrupulous contractors who lowball bids through fraudulent practices. And it cheats communities out of much-needed tax dollars to fund new projects and public services. Thanks to our research team for uncovering these injustices against working families and to the Department of Labor for enforcing the law."

The Prevailing Wage Act requires contractors and subcontractors to pay laborers, workers and mechanics employed on PUBLIC WORKS construction projects no less than the general prevailing rate of wages for work of a similar character in the county where the work is performed.

"The Mid-America Carpenters Regional Council is proud of the wins we've helped facilitate against contractors who try to cheat the system," said Perinar. "Our tax fraud department is dedicated to rooting out cases of wage theft and we will continue to pursue them aggressively."

SOURCE Mid-America Carpenters Regional Council