The settlement, reached after mediation in June 2026, resolves a federal lawsuit alleging that the workers were systematically underpaid during a $66 million school renovation project.
Investigations found that two contractors illegally misclassified hundreds of construction workers and failed to pay rightfully earned wages.
Intentional employer misclassification of workers as “independent contractors” is widespread.
Legislation gives AG’s office the power to conduct compliance investigations and resources needed to go after bad actors.
