Municipal Government

Non-Union Contractors Skirt Prevailing Rate

November 4, 2015
By Stephanie West

Eric T. Schneiderman

New York, NY – Navico B & S Construction Corp. (Navico) has been caught underpaying wages and benefits to workers at a publicly-funded New York City Housing Authority (NYCHA) construction project in Queens. Employees were required to kickback wages.Following an investigation by Attorney General Eric T. Schneiderman and New York City Department of Investigation, owner Jagdish Singh, 57,  has been sentenced for failure to Pay Wages.

Construction workers building affordable housing for families, like all other workers, deserve to be paid properly,” Attorney General Schneiderman said. “My office will continue to take aggressive action against employers who cheat workers out of their hard-earned wages. We will not rest until all workers in New York are treated with the respect they deserve.”Navico supplied and maintained the scaffolding for brickwork and roof restoration at the Pomonok Houses located on Parsons Boulevard. In the Fall of 2014, NYCHA’s Inspector General’s Office was informed by a Navico employee that the company foreman, Jagdish Singh, required a “kick-back” of a portion of his weekly wages if he wanted to maintain employment.

The scheme began in August 2014 and continued through November 8, 2014. The kick-backs for this employee totaled $5,785.00. Four other employees were also required to kick- back a portion of their paycheck in cash to Mr. Singh in order to keep their job Dodging labor and prevailing wage laws, as this contractor did, are serious crimes that target New York's most vulnerable populations and impact the lives of honest workers and their families. The hiring of non-union contractors continues to be problematic for municipalities. Studies regularly document that non-union labor is inferior to union work. In fact, non-union construction often produces poor quality workmanship and sometimes dangerous working conditions for employees.

November 3, 2015

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Your email address will not be published.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.