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NYC Condominium Wage Theft: Allied Universal to Pay Nearly $230,000 in Restitution

What you should know

  • From 2016 to 2019, Allied Universal Security Services (Allied Universal) underpaid the security guards it hired to provide at the 540 West 28th Street Condominium in Chelsea, depriving some workers of nearly $30,000 each in fair wages. As a result of a joint investigation by the Office of the Attorney General (OAG) and the New York City Comptroller’s Office, Allied Universal will pay nearly $230,000 in restitution to the OAG, which will be distributed entirely among the seven affected employees.
  • In 2011, the Condominium received a Section 421 tax exemption that required its owners to pay building service employees the prevailing wages established by the New York City Comptroller’s office. At the same time, the Condominium Board of Directors hired Allied Universal, a private security and personnel company, to provide security services for the building.
  • For its violations of New York law, Allied Universal will pay the full amount owed to its employees plus interest, for a total of $229,718.48. OAG will distribute all of these funds as restitution to former Allied Universal employees who were classified as unarmed security guards from September 2016 through February 2019.

NEW YORKNew York Attorney General Letitia James and New York City Comptroller Brad Lander announced Monday a settlement totaling nearly $230,000 with a contracting agency and the board of directors of a building New York City condominiums for failing to pay building workers the prevailing wage required by New York law.

From 2016 to 2019, Allied Universal Security Services (Allied Universal) underpaid the security guards it hired to provide at the 540 West 28th Street Condominium in Chelsea, depriving some workers of nearly $30,000 each in fair wages. As a result of a joint investigation by the Office of the Attorney General (OAG) and the New York City Comptroller’s Office, Allied Universal will pay nearly $230,000 in restitution to the OAG, which will be distributed entirely among the seven affected employees.

“All New Yorkers deserve fair and full compensation for their hard work,” said Attorney General Letitia James. “For years, Allied Universal cheated its workers out of their hard-earned wages while the owners of the building where they worked benefited from a lucrative tax break. Now, these workers will finally receive the pay they are owed. “I want to thank Comptroller Lander for his collaboration in this investigation and we will continue to hold employers accountable for wage theft to ensure all New Yorkers are paid fairly.”

In 2011, the Condominium received a Section 421 tax exemption that required its owners to pay building service employees the prevailing wages established by the New York City Comptroller’s office. At the same time, the Condominium Board of Directors hired Allied Universal, a private security and personnel company, to provide security services for the building.

An investigation by the attorney general and comptroller found that from September 2016 to February 2019, Allied Universal failed to pay security guards working at the condo the wages they were owed under current wage rules. Seven employees were scammed out of thousands of dollars in supplemental benefit payments each, and some lost tens of thousands of dollars in fair payments.

“We take seriously our responsibility to enforce existing wage laws to protect workers from companies that try to cheat them out of the wages they have earned,” said New York City Comptroller Brad Lander. “Today’s agreement demonstrates that companies cannot avoid responsibility for exploiting their workers. “I am proud that our Employment Law Office worked collaboratively with Attorney General James’ team on this case to ensure Allied Universal security guards receive the pay they deserve.”

For its violations of New York law, Allied Universal will pay the full amount owed to its employees plus interest, for a total of $229,718.48. OAG will distribute all of these funds as restitution to former Allied Universal employees who were classified as unarmed security guards from September 2016 to February 2019.

Additionally, Allied Universal must audit its contracts at all other New York City buildings and certify to the OAG each year that all of its employees are paid the prevailing wage at properties that benefit from a 421 tax exemption. -to.

New Yorkers who believe they have been victims of wage theft or other labor law violations can contact the OAG by filing a confidential complaint online or by calling (212) 416-8700.

2024-04-02 01:46:16
#Officials #Secure #Building #Employees #Defrauded #Fair #Wage

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