California Labor Commissioner Reaches $1 Million Settlement in Wage Theft Case

Los Angeles—The Labor Commissioner’s Office (LCO) has settled a lawsuit against Glendale-based Calcrete Construction Inc. (Calcrete) for over $1 million for multiple wage theft violations, including overtime and paid sick leave law violations, affecting 249 construction workers.

Workers employed at Calcrete beginning August 1, 2014 to September 30, 2016 should contact the LCO at 833-LCO-INFO (833-526-4636), as they may be entitled to owed wages and damages under this settlement agreement.

“This employer used various illegal tactics to circumvent paying owed wages,” said Labor Commissioner Lilia García-Brower. “My team responded aggressively to recover stolen wages and expose systemic violations.”

The LCO began investigating in October 2016 after receiving a complaint from the Carpenters / Contractors Cooperation Committee, a union-affiliated, non-profit organization that advocates for workplace compliance within the construction industry. LCO’s investigation found that Calcrete failed to pay workers for overtime hours, allocate pay for sick leave and provide proper wage statements. As one example, Calcrete employees regularly worked 45-68 hours a week but were not paid overtime during a two-year period audited from 2014-2016. The settlement will pay workers overtime wages owed with interest, with payments ranging from $344 to $20,893.

Enforcement investigations typically include a payroll audit of previous years to determine minimum wage, overtime, and other labor law violations, and to calculate payments owed and penalties due. When workers are paid less than minimum wage, they are entitled to liquidated damages that equal the amount of underpaid minimum wages plus interest.

The Department of Industrial Relations’ Division of Labor Standards Enforcement (California Labor Commissioner’s Office) combats wage theft and unfair competition by investigating allegations of illegal and unfair business practices.

The LCO in 2020 launched an interdisciplinary outreach campaign, “Reaching Every Californian.” The campaign amplifies basic protections and builds pathways to affected populations, so workers and employers understand legal protections and obligations, as well as the Labor Commissioner’s enforcement procedures. Californians can follow the Labor Commissioner on Facebook and Twitter.

Media Contact: Communications@dir.ca.gov, (510) 286-1161

Employers with Questions on Requirements May Contact: MakeItFair@dir.ca.gov

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