National Association of Government Contractors


Contractor Ordered to Pay Over $100k in Wages

Back wages totaling $103,788 have been paid to 29 individuals who were underpaid while working on an affordable housing project in Hammond, IL according to  federal agencies.

The Flagstone Village project was a U.S. Department of Housing and Urban Development project, and the U.S. Department of Labor Wage and Hour Division has said the prime contractor for the job, CRG Residential, needed to incorporate the required Davis-Bacon and Related Acts and Contract Work Hours and Safety Standards Act stipulations into its sub-contractors's contracts.

According to a Department of Labor, CRG was responsible for all violations and back wages owed because the subcontracts did not include these contract stipulations. The Department of Labor said subcontractors were not responsible for any wage violations on their part.

The Wage and Hour Division also determined that CRG Residential failed to pay one employee for time spent transporting other workers to the job site at the start of the week and home from the job site at the end of the week.

The company also classified the worker improperly and paid him a lower rate than required for his job classification when he was operating heavy equipment, according to the division.



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