News Release

Judge orders Pennsylvania contractor to pay $85K in wages, benefits, overtime owed to 6 workers on federal projects in New York, New Jersey

JRW Service Group also barred from obtaining federal contracts for 3 years

NEW YORK – An administrative law judge has ordered a Pennsylvania-based federal contractor to pay $85,284 in back wages for failing to pay prevailing wages, fringe benefits and overtime pay owed to workers employed on multiple federal construction projects, after an investigation and litigation by the U.S. Department of Labor.

A decision by the department’s Office of Administrative Law Judges found that JRW Service Group LLC and its owner, Jason Winters, violated the Davis-Bacon Act by classifying and paying six workers as laborers improperly when they did the work of carpenters, pipefitters and other trades at three worksites for the U.S. General Services Administration and the U.S. Coast Guard. Specifically, the work was performed at federal court buildings in Brooklyn and Central Islip and the U.S. Coast Guard training center in Cape May, New Jersey. The judge also found the company failed to pay workers fringe benefits, as required in federal contracts.

In addition, the judge found the employer did not pay employees the required overtime rates for hours over 40 in a workweek at all three worksites in violation of the Contract Work Hours and Safety Standards Act. The case was referred to the department’s Office of the Solicitor when JRW Service Group refused to pay the workers’ back wages. 

“Employers who fail to pay required prevailing wages and fringe benefits because they classify employees improperly cause financial harm to workers on government-funded projects,” said Wage and Hour Division District Director Jorge Alvarez in New York. “The Wage and Hour Division is committed to ensuring that these employees are made whole using all available enforcement tools.”

The order also debarred the company and its owner from working on future federal and federally funded construction projects for three years.

“This decision and debarment should make clear that the U.S. Department of Labor will pursue all necessary legal actions to ensure that employers are held accountable when they violate federal prevailing wage laws,” said Regional Solicitor of Labor Jeffrey S. Rogoff in New York. 

The division’s New York City District Office conducted the investigation. Trial attorneys Susannah Kroeber, Susan Jacobs and Stacy Goldberg of the regional Office of the Solicitor in New York litigated the case.

Learn more about the Wage and Hour Division and the Davis-Bacon and Related Acts, including a search tool to use if you think you may be owed back wages collected by the division and how to file an online complaint. Workers and employers can call the division’s toll-free helpline at 866-4US-WAGE (487-9243) confidentially with questions, regardless of immigration status. The division can speak with callers in more than 200 languages.

Download the agency’s Timesheet App for iOS and Android devices – available in English and Spanish – to ensure hours and pay are accurate.

Agency
Wage and Hour Division
Date
October 15, 2024
Release Number
24-1978-NEW
Media Contact: James C. Lally
Phone Number
Share This