Business & Tech
Napa Construction Co. Ordered To Pay Benefits
The business was instructed to pay unemployment insurance for its workers.
The U.S. Department of Labor has recovered $106,000 in fringe benefits a Napa-based street, highway and bridge construction company was required to pay 19 of its employees, a labor department spokesman said.
Avcon Constructors Inc. failed to make timely benefit plan payments to the employees who were working on projects at the San Francisco Veterans Hospital and the Training Exercise Warehouse at Fort Hunter Liggett, an Army Garrison in Monterey County, spokesman Leo Kay said.
The employees were working on federally-financed contracts that were subject to Davis-Bacon and Related Acts regulations requiring at least quarterly contributions to funds for bona fide benefits, Kay said.
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Avcon Constructors failed to make timely contributions to the employees’ supplemental unemployment insurance benefits between May and October 2014, according to Alberto Raymond, assistant director with the U.S. Department of Labor.
The company did end up paying the employees’ benefits within several weeks after the U.S. Department of Labor’s investigation began in the fall of 2014, Raymond said.
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“Taxpayers have the right to expect that federal contractors understand their obligations and comply with the law,” said Susana Blanco, director of the U.S. Department of Labor’s Wage and Hour Division in San Francisco.
--Bay City News
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