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February 15, 2012
Subcontractors to Pay $409,777 in Back Wages

Five subcontractors working at Pulte Homes sites in eastern Massachusetts were recently ordered to pay a total of $409,777 in back wages and penalties for wage violations and worker misclassification. In addition, the subcontractors were ordered to pay more than $141,000 in outstanding revenue to Massachusetts’ unemployment system. The orders resulted from investigations by Attorney General Martha Coakley’s Office, the Executive Office of Labor and Workforce Development, and the Joint Enforcement Task Force on the Underground Economy and Employee Misclassification (JTF).

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Earlier this year, the Attorney General’s Office and JTF received complaints against the subcontractors alleging that workers were not paid for overtime and were not paid for all hours worked. Workers reported being paid in cash or by checks that bounced.

The investigation uncovered numerous wage and hour violations as well as unpaid unemployment insurance taxes at the following firms: AM Construction Services in Framingham; Two Brothers Construction in East Natick; Nunes Brothers Construction of Worcester; Seven Seas Group and its Fall River president; and Five Stars Construction of Trumbull, Connecticut.

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