Calif. Labor Commissioner Files Suit Against Janitorial Companies

California Labor Commissioner Angela Bradstreet and Attorney General Edmund G. Brown Jr. announced yesterday it has taken legal action against a Delaware company for failing to pay approximately 300 California janitorial workers proper wages and engaging in unfair business practices. Damages being sought could exceed $5 million.

The joint lawsuit against Excell Cleaning & Building Services, Inc., and MO Restaurant Cleaning of California Inc., seeks damages for unpaid wages and penalties going back to 2003. The two companies had contracts to provide janitorial services at various restaurants in Los Angeles, San Diego, and Orange counties.

"This case is an example of gross exploitation of employees and we will not tolerate such unconscionable behavior," Bradstreet said. "This suit should serve as a message that these kinds of activities will be vigorously pursued. Fighting the underground economy and preserving a level playing field for workers and businesses is one of my top priorities."

An investigation by the labor commissioner in late 2006 found that Excell and MO Restaurant Cleaning failed to pay employees wages to which they were entitled on regularly established paydays. In addition, they also failed to pay overtime and/or double-time and did not provide meal and rest breaks as required by state labor law. Employees were required to work from approximately 11:30 p.m. until 9 a.m., seven days a week, and were often paid a flat rate of $50 per day.

The investigation also revealed that employees were being misclassified as independent contractors to avoid paying nearly $250,000 in payroll taxes. This misclassification also resulted in workers being paid less than minimum wage and not being paid overtime.

"We believe these activities were deliberately designed to take advantage of workers who had few resources to fight for their rights," Bradstreet added. "The defendants not only violated the rights of these workers, but they gained unfair advantage over their competitors for a sustained period of time."

For more information, visit www.dir.ca.gov/dlse.

Download Center

HTML - No Current Item Deck
  • Safety Management Software - Free Demo

    IndustrySafe Safety Software’s comprehensive suite of modules help organizations to record and manage incidents, inspections, hazards, behavior based safety observations, and much more. Improve safety with an easy to use tool for tracking, notifying and reporting on key safety data.

  • Create Flexible Safety Dashboards

    IndustrySafe’s Dashboard Module allows organizations allows you to easily create and view safety KPIs to help you make informed business decisions. Our best of breed default indicators can also save you valuable time and effort in monitoring safety metrics.

  • Schedule and Record Observations

    IndustrySafe's Observations module allows managers, supervisors, and employees to conduct observations on employees involved in safety critical behavior. IndustrySafe’s pre-built BBS checklists may be used as is, or can be customized to better suit the needs of your organization.

  • Why Is Near Miss Reporting Important?

    A near miss is an accident that's waiting to happen. Learn how to investigate these close calls and prevent more serious incidents from occurring in the future.

  • Get the Ultimate Guide to Safety Training

    When it comes to safety training, no matter the industry, there are always questions regarding requirements and certifications. We’ve put together a guide on key safety training topics, requirements for certifications, and answers to common FAQs.

  • Industry Safe
comments powered by Disqus

OH&S Digital Edition

  • OHS Magazine Digital Edition - May 2019

    May 2019

    Featuring:

    • RESPIRATORY PROTECTION
      Why Pick a PAPR? 
    • FIRE SAFETY TRAINING
      Fire Safety: Plan, Prevent, Train, Recover
    • PROTECTIVE APPAREL
      The Truth About Heat Stress and FRC
    • AIHCE EXP 2019 PREVIEW
      Underestimated No More
    View This Issue