Contractor Hit with Lawsuit for Ohio Employment Violations

Columbus, OHA contractor based in Virginia but having undertaken work at the Joseph P. Kinneary US Courthouse in Columbus, Ohio, is facing a whack of citations under Ohio Employment after workers on the project were found to have not been paid properly.

According to the Norwalk Reflector (5/22/14), an investigation by the US Department of Labor’s Wage and Hour Division (DOL) uncovered violations to Ohio Labor Laws as well as various federal statutes by CFP Group Inc. The latter had been hired to undertake the installation and modification of fire alarms and sprinkler systems in the courthouse facility between October 2012 and September 2013.

Due to the fact there were tax dollars involved in a government-procured project, prevailing wage is a requirement under Ohio Labor and Employment Law. However, this was seen not to be the case. As the result of a lawsuit filed against the contractor, it was determined that $35,996 in unpaid prevailing wages and fringe benefits were not paid to nine workers involved in the project - a violation of various statutes including the Davis-Bacon and Related Acts (DBRA), the Contract Work Hours and Safety Standards Act (CWHSSA), and the Fair Labor Standards Act (FLSA).

“Government contracts include specific requirements regarding pay and benefits, and employers are required to follow these rules, so workers are paid correctly,” said George Victory, the Wage and Hour Division’s director in Columbus, in comments published in the Norwalk Reflector. “Contractors should be well aware of these obligations when they bid for these jobs and when contracts are awarded. Taxpayers have a right to expect that federal contractors, who are paid with tax dollars, will comply with the law.”

CFP Group was found not to have paid prevailing wages, as well as overtime pay. The investigation also determined that CFP Group failed to maintain adequate, certified payroll records in keeping with mandated requirements. Health insurance for covered employees was also allowed to lapse, according to the report. One worker toiling on the project reportedly incurred nearly $6,000 in medical bills that otherwise would have been covered by employer health insurance, had it not been allowed to lapse.

Citing violations to Ohio Employment Law and other federal statutes, the DOL filed a lawsuit against the contractor in US District Court in Columbus. In addition to aforementioned violations, CFP Group was found to have not paid $19,190 in unpaid wages to three employees. The lawsuit sought to have those wages paid, together with an equal amount in liquidated damages.

All tolled, the contractor was found to have not paid a total of $55,186 in prevailing wages, fringe benefits, minimum wages and overtime to 11 workers, in violation of Ohio employment labor law and various federal statutes.

The affected employees will collect what is their due with the help of Ohio Employment attorneys.