WASHINGTON — A DC construction company will pay nearly $200,000 for violating labor laws. Attorney General Brian Schwalb made the announcement Friday.
According to a press release from Schwalb’s office, Diverse Masonry Corporation will pay $191,750 to resolve allegations that the company failed to provide 59 of its workers with benefits, including paid sick leave, as required under District law, by systemically misclassifying them as independent contractors instead of employees
A recent economic analysis by the Office of the Attorney General found that misclassification of employees in the construction industry is a growing problem. Companies misclassify employees as independent contractors to cut their labor cost by anywhere from 16.7% to 40%, the 2019 report found…