Dive Brief:
- A California construction contractor must pay $468,505 in back wages and damages to 137 workers after a federal investigation found violations of minimum wage and overtime laws, according to the U.S. Department of Labor.
- Newport Beach-based SCA General Contracting, along with operators Sundeep Pandhoh and Gary Tetone, failed to pay workers properly between Nov. 1, 2024, and Nov. 30, 2025, including missed payroll, unpaid overtime and retaliation against employees who complained, per the DOL.
- A U.S. District Court approved a consent judgment requiring the company to pay damages and reinstate a worker who was terminated after raising pay concerns, in violation of the Fair Labor Standards Act.
Dive Insight:
Construction Dive contacted SCA General Contracting and its legal representatives for comment but did not receive a response prior to publication.
Wage theft remains a recurring issue in construction, particularly in segments with heavy subcontracting and lower-wage labor, where oversight can be more limited, which is why legal experts advise general contractors to carefully vet subcontractors and contracts to reduce exposure to wage violations.
This is a growing concern as violations like unpaid overtime, withheld wages and improper payroll practices can affect hundreds or even thousands of construction workers…