Jersey City electrical subcontractor underpaid workers by nearly $800K in wages, benefits: feds

By Ron Zeitlinger | The Jersey Journal
May 13, 2022

A Jersey City electrical subcontractor on a federally funded residential townhome and apartments project in Paterson underpaid 11 electricians by a total of nearly $800,000 in wages and benefits, a federal investigation found.

Deen Electrical Contractors Inc. misclassified the workers at the Riverside Townhomes and Senior Apartments public housing project and paid them as laborers, in violation of the Davis-Bacon and Related Acts, Department of Labor officials said. By doing so, Deen underpaid the electricians for work on the project that was funded through the U.S. Department of Housing and Urban Development.

The investigation by the U.S. Department of Labor’s Wage and Hour Division led to the recovery of $799,479 in back wages for the 11 electricians.

“Contractors and subcontractors on federally funded projects are legally obligated to accurately identify workers on work sites, pay them the local prevailing wages and fringe benefits and submit weekly certified payroll records to the contracting agency.” Wage and Hour Division District Director Paula Ruffin said.

Officials said that when the federal investigation was completed, Deen Electrical paid the back wages promptly.

Based in Jersey City, Deen Electrical Contractors Inc. has been a family-owned and operated contractor for more than 30 years, serving commercial builders, residential owners and performing work under state and federal contracts in North Jersey and the surrounding area, federal officials said.

Contractors and subcontractors on federally funded projects are required to properly identify workers and pay them the applicable prevailing wage rate, in addition to submitting weekly certified payroll records to the contracting agency. They are also required to post the Davis-Bacon poster on the job site.

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