Comptroller Stringer: Millions in Unclaimed Wages Available for Workers Cheated Out of Pay

January 24, 2019

While federal government attacks immigrant communities, Comptroller’s office launches outreach campaign to link potentially impacted employees with wages they deserve

(New York, NY) — New York City Comptroller Scott M. Stringer launched a new campaign today to return over $2.5 million in unclaimed prevailing wage awards to workers cheated out of their pay by unscrupulous contractors on City-funded projects. The Comptroller’s Bureau of Labor Law enforces prevailing wage and benefit rates for construction and building service workers employed by contractors on City public work projects. When companies on these public contracts fail to pay the proper wages and benefits, the Comptroller enforces the law to ensure workers receive the money they are owed through outreach.

The letters notifying workers – many of whom are immigrants –  of their unclaimed awards are on the Comptroller’s letterhead, however anecdotal evidence indicates many are afraid to respond because they fear it is a scam or veiled immigration enforcement. The new campaign will conduct outreach to impacted workers through media outlets to provide reassurance to those with unclaimed prevailing wage awards.

“An honest day’s work deserves an honest day’s pay, and my office has zero tolerance for predatory contractors who steal wages from their workers,” said Comptroller Stringer. “The hateful, anti-immigrant rhetoric coming out of Washington has created a climate of fear, leaving employees too afraid to hold employers accountable when they withhold their pay. While we can’t control the White House, we can fight to protect workers here in New York City. This campaign is our way of making sure that regardless of who you are or your immigration status, if you did the work for a City contractor, you’ll get the pay you deserve.”

Since 2014, Comptroller Stringer’s office has assessed more than $27 million in prevailing wage violations and paid over $12 million to employees who were cheated out of their wages. It has also debarred 50 contractors who took advantage of workers – setting an office record.

“Los trabajadores inmigrantes, deben saber que, sin importar su estatus migratorio, existe un mecanismo para recuperar los salarios que no les pagaron los contratistas deshonestos que trabajan con la ciudad. Quienes integramos la Coalición de Cónsules Latinoamericanos en Nueva York estamos gustosos de saber que la Oficina del Contralor se encuentra promoviendo los derechos de los trabajadores y consiguiendo que se haga justicia.El año pasado desde el Consulado de Ecuador en NY pudimos facilitar la entrega de una significativa compensación a un trabajador ecuatoriano que incluso ya había regresado a nuestro país. Si es posible recuperar los salarios de trabajadores a quienes nunca les pagaron o les pagaron menos de lo que sus contratistas recibían de la ciudad,” said Linda Machuca, Consul General of Ecuador and President of Coalition of Latin American Consuls in New York. 

“We welcome the Comptroller’s determination and commitment to ensure that all workers, regardless of their immigration status – particularly those of Mexican origin – are compensated for their hard work. We will continue strengthening our alliance with all the City authorities in order to fight all practices of labor discrimination and abuse, and to encourage all New Yorkers to come forward to denounce them, and claim their rightful lost wages,” said Carlos Gerardo Izzo, Consul for Public Affairs and Spokesperson of The Consulate General of Mexico in New York.

Jennifer Sun, Co-Executive Director of Asian Americans for Equality said, “AAFE applauds Comptroller Stringer’s efforts to make sure workers receive the wages they are owed, especially when they are working on capital projects and in buildings that benefit from City funding.  All too often, immigrant and low-income workers suffer the impact of employers failing to meet their obligations under city contracts. AAFE is fully committed to working with the Comptroller’s Office to get the word out in our communities, and to combat wage theft in New York City at every turn.”

“At a time when President Trump is emboldening exploitative employers with hateful rhetoric, our City’s leaders must take a strong stance in defense of immigrant workers. Wage theft is a persistent and pervasive problem in New York, with employers consistently cheating workers out of money they rightfully earned. We commend the Comptroller for fighting to recuperate wages for workers and sending a clear message to employers that this type of behavior will not be tolerated,” said Deborah Axt, Executive Director, Make the Road New York.

“Rampant wage theft remains a reality for all too many hard-working immigrant and working-class New Yorkers. We applaud the Comptroller’s effort to ensure that all workers are able to get the compensation they deserve for their labor,” said Steven Choi, executive director, New York Immigration Coalition.

“The Alliance South Asian American Labor (ASAAL), since its inception, has always held up the rights of all workers to be paid the exact amount of money that is due to them. Wage theft is a serious crime and should be punished as such. We, at ASAAL, will do everything in our power to protect the rights of workers in getting their fair amount of pay. Many of these victimized workers are of South Asian descent. But what is more important is that every worker irrespective of their country of origin or religious affiliation is paid what is due to them. ASAAL will work with the current people’s Comptroller Scott Stringer, all interested elected officials, labor-based groups, and our concerned citizens to put an end to wage theft once and for all,” said Maf Misbah Uddin, Founder and President of the Alliance of South Asian American Labor. 

About the Comptroller’s Bureau of Labor Law and How Prevailing Wage Enforcement and Collection Works

The Comptroller’s Bureau of Labor Law enforces prevailing wage and benefit rates for construction workers employed by City contractors on public work projects.  Public work projects include construction, repair and renovation of City owned facilities such as public schools, City parks, streets, subway stations, police stations and fire houses. The Bureau also enforces prevailing wage and benefit rates for building service employees such as security guards and cleaners when they are employed by City contractors in public schools and other City buildings, or when they are employed in certain buildings that receive property tax exemptions or receive financial assistance from City government.

When the Bureau receives a complaint — or otherwise has reason to believe that an employer on one of these projects is not paying the correct wage or benefits — it launches an investigation. If the company is not in compliance, the Bureau makes a finding as to how much workers have been underpaid, regardless of whether those particular workers have filed complaints with the office.  The Bureau does not inquire into the immigration status of workers because they are entitled to prevailing wages on these projects regardless of immigration status.

The Bureau will either settle with the employer or go to trial against the employer — and issue an order after the trial that requires payment to the Bureau for safekeeping of the unpaid wages and benefits, with interest. The Bureau then notifies awarded workers with instructions on how to collect their money. Unclaimed awards are held by the Comptroller’s Office until entitled workers can be found.

Workers must fill out a proof of claim form included with the letter (available on the Comptroller’s website) and attach copies of any documents they have received from the employer, such as paystubs or W-2 statements. The proof of claim form must be signed and notarized and returned to the Bureau. Workers should retain copies of the proof of claim form and attached documents for their records. Workers can also check the Comptroller’s website at www.comptroller.nyc.gov/wages for a list of all workers with unclaimed prevailing wage awards and for more information about the Bureau.

For more information contact: Labor Law hotline (212) 669-4443, laborlaw@comptroller.nyc.gov or visit www.comptroller.nyc.gov/wages.

Click here to view a sample letter to workers.

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