Municipal Government

Back Wages Recovered by US Labor Department

By Kismet Barksdale
December 8, 2010

The U.S. Department of Labor has recovered nearly $339,000 in back wages for 27 electrical mechanics employed by Sant-Tec Electric Inc., a company working in both New York and New Jersey.  An investigation by the Labor Department’s Wage and Hour Division revealed that the company and its officials had violated wage and benefit requirements of the Davis-Bacon and and the Contract Work Hours and Safety Standards Act on three federally-funded housing construction projects in New York City.

In addition to paying the back wages, Sant-Tec Electric, President Manuel Montesino and Human Resources Manager Olga Pena will be debarred from working on future federally-funded contracts for a period of three years.

“Workers employed on federally-funded projects must be paid proper wages and fringe benefits,” said Maria Rosado, the New York district director for the Wage and Hour Division. “Contractors and subcontractors working on such projects should know that the Labor Department will pursue them if they don’t pay their employees properly under the law.”

The investigation by the Wage and Hour Division’s New York City District Office determined that Sant-Tec failed to pay the prevailing wage rates and fringe benefits to some of its employees, failed to pay some of its employees for all hours worked, failed to pay its employees overtime for hours worked over 40 in a week and submitted certified payroll records that did not accurately reflect all the hours worked by employees on the project.

Sant-Tec was a subcontractor to Lettire Construction Corp., which itself was a subcontractor on three contracts awarded by the New York City Department of Housing Preservation and Development for the following housing projects.

December 8, 2010

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.