by Dominoe Ibarra
July 23rd, 2018
The builder of a downtown San Jose apartment tower shelled out $250,000 to workers to settle labor violations alleged by federal investigators. Full Power Properties LLC-the builder that succeeded KT Urban on the the 650-unit Silvery Towers project-owed the money to 22 workers, the U.S. Department of Labor (DOL) announced last week.
Investigators found that Full Power Properties profited off underpaid workers employed by Job Torres, a subcontractor doing business as Nobilis Construction. During off hours, those workers lived in captivity, in a squalid warehouse run by Torres.
Acting on a tip that Hayward-based Nobilis Construction used undocumented workers as slaves, agents from the U.S. Department of Homeland Security served search warrants at multiple sites in August of 2017, took Torres into federal custody and referred the case to the DOL’s Wage and Hour Division.
Investigators say they found that Torres kept workers in a cramped second-story loft hidden behind a wall, with wood bunks and no running water. Torres allegedly locked the door from the outside, which led investigators to conclude that the workers were being held against their will.
According to the feds, Torres smuggled workers in from Mexico and would threaten them into submission by mentioning to anyone who complained that he knew people from drug cartels. The construction boss allegedly collected contact information for each worker’s family “in case of emergency,” so he knew where their loved ones lived.
There were signs of trouble long before federal investigators began looking into claims of forced labor in February of 2017. Silvery Towers developer KT Urban, which enjoyed tax breaks from the city to incentivize the project, came under fire in 2016 for hiring non-union workers, prompting a series of protests by local labor unions.