Foreign workers building a sprawling $350 million American Consulate in Milan were paid less than $2 an hour after being promised fair wages, according to Associated Press interviews with five former employees and a review of their employment letters and pay stubs. Two of its managers in Italy were arrested this month on suspicion of labor exploitation, one while boarding a flight to leave the country and another planning to flee, prosecutors said. The consulate probe was launched about six months ago and involves some 70 workers, mostly from India. Prosecutors allege Caddell illegally deducted room and board from wages and forced them to work 10-hour days, six days a week. Some were paid as little as 500 euros (less than $580) monthly after room and board were deducted, prosecutors said. Caddell and the U.S. State Department said they are investigating the allegations and cooperating with Italian authorities.
Foreign workers building a sprawling $350 million American Consulate in Milan were paid less than $2 an hour after being promised fair wages, according to Associated Press interviews with five former employees and a review of their employment letters and pay stubs.
Two of its managers in Italy were arrested this month on suspicion of labor exploitation, one while boarding a flight to leave the country and another planning to flee, prosecutors said. The consulate probe was launched about six months ago and involves some 70 workers, mostly from India. Prosecutors allege Caddell illegally deducted room and board from wages and forced them to work 10-hour days, six days a week.
Some were paid as little as 500 euros (less than $580) monthly after room and board were deducted, prosecutors said. Caddell and the U.S. State Department said they are investigating the allegations and cooperating with Italian authorities. The AP spoke to four workers from Kenya and one from India at a trade union center where officials were organizing assistance, including legal help and housing.
The workers provided documentation and spoke on condition of anonymity out of fear of retaliation and to protect the ongoing investigation. The Kenyan workers said they had been hired by Caddell after working on a multi-million-dollar extension of the U.S. Embassy in Nairobi. Two showed employment letters on Caddell stationery signed by a company representative promising annual salaries topping 25,000 euros (nearly $29,000).
They said they were not paid anything close to that and were threatened by human resources personnel at the job site after they questioned management. The Indian worker said he was promised a monthly salary of 2,500 euros (nearly $3,000). Instead, he had a pay slip showing his actual pay amounted to around 500 euros (less than $580) per month. It listed an hourly wage of 1.55 euros ($1.80).
The State Department said it is investigating the allegations made by prosecutors and that U.S. law enforcement is working with Italian authorities. Caddell said it was ‘fully cooperating’ with Italian authorities and conducting its own ‘comprehensive inquiry’ into this matter to ensure all its global subcontractors and consultancies are in compliance with all labor standards and legal requirements. Caddell is committed to treating and paying workers fairly.
We will continue to work with authorities in good faith to ensure the welfare of those who work on this important project. More than a decade ago, Caddell paid millions to the U.S. government to settle allegations it made false claims to gain access to government incentives. Caddell did not reply to a request for comment on that case.
All five of the workers who spoke to the AP, ranging in age from their late 20s to early 50s, said they were fired without cause this year. One of them said he returned from visiting family in Kenya to find that he no longer had a job or place to stay.
Four of the workers were trained electricians, including the Indian worker whose resume showed he had more than a decade of experience working for other companies in Persian Gulf countries. The Indian worker said he was promised a monthly salary of 2,500 euros (nearly $3,000). Instead, he had a pay slip showing his actual pay amounted to around 500 euros (less than $580) per month. It listed an hourly wage of 1.55 euros ($1.80). I believe in justice
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