Brothers Mechanical Inc., a local construction company, will pay $1.5 million following an investigation revealing the company and its subcontractors misclassified workers as independent contractors, resulting in unpaid wages, D.C. Attorney General Brian L. Schwalb announced Tuesday.
Of the settlement, $500,000 will go directly to affected workers, while $1 million covers penalties imposed for violations of D.C. labor laws. The probe found that from 2020 to the present, Brothers Mechanical misclassified approximately 500 workers who were staffed on projects through subcontractors.
Attorney General Highlights Worker Protections
“This settlement puts money back in the pockets of hundreds of construction workers and sends a clear message that businesses will face consequences when they break the law, cheat workers, and undercut law-abiding competitors,” Schwalb said.
The agreement also requires Brothers Mechanical to implement sweeping reforms to prevent future violations. These measures include mandatory weekly payroll submissions from subcontractors, enhanced worker training to detect wage and hour violations, and ongoing compliance monitoring to ensure adherence to D.C. labor laws.
