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Washington, DC, Attorney General Brian Schwalb filed a lawsuit against five companies in late June, alleging that they engaged in a “widespread misclassification scheme that deprived hundreds of District construction workers the wages and benefits they were entitled to under DC law.”

The companies — Whiting-Turner Contracting Company, W.G./Welch Mechanical Contractors, LLC and three labor brokers (Mechanical Plumbing Crew Co., Ramirez Plumbing Inc. and GINCO HVAC, LLC) — are accused of denying workers the proper minimum wage, overtime and paid sick leave they deserve.

A Washington Post article on the lawsuit reported that SMART Local 100 organizers and members played a role in helping workers fight for their rights.

Local 100 job action related to the DC OAG lawsuit.
Local 100 job action related to the DC OAG lawsuit.

“The construction industry is loaded with nonunion contractors who hire subcontractors called labor brokers to act as intermediaries between the workers and the construction companies,” said Chuck Sewell, marketing director for Local 100, in a press release from the DC Office of the Attorney General. “This leads to a diffusion of responsibility, where neither the broker nor the construction company takes full responsibility for the workers’ conditions, rights and welfare.”

Bad-faith, nonunion contractors and labor brokers often misclassify workers to avoid paying taxes, work compensation and other requirements, Sewell added, noting that labor brokers “often put their workers on projects without sufficient training, risking their safety and resulting in poor quality workmanship.”

At a mixed-use development in DC known as City Ridge, sheet metal worker Edwin Mayorga and approximately 370 of his fellow workers said that they weren’t paid in full.

“We worked 12 hours a day from Monday to Friday, and on Saturday we worked 10 hours, Sunday, 10 hours, practically,” he said in Spanish [to the Post], through an interpreter. “We weren’t resting.”

Local 100 Organizer Rolando Montoya connected with workers at the City Ridge jobsite after hearing complaints that they weren’t getting paid, helping them access resources to fight for the compensation they were owed.

“Our contractors that are being responsible, paying for training, paying good wages, benefits — when they bid on these projects, they can’t compete,” Montoya said in the Post article. “It’s affecting union workers, because it’s less work.”

Fighting wage theft and uncovering low-road contractors isn’t just the right thing to do for exploited workers and high-road contractors; it illuminates the difference provided by union representation, helping SMART locals recruit more workers. One example: the sheet metal worker from the City Ridge project, Edwin Mayorga, who has since joined Local 100.

“It’s a huge difference,” he told the Washington Post, “mainly because one is not fighting to get paid.”

Joe Pickens officially joined NEMI as a field staff representative for the Midwest region on April 1. In this role, he serves as a liaison for local unions and members of SMART, helping identify solutions and opportunities in the market.

The Virginia resident entered the apprenticeship at SMART Local 100 in the Washington, DC, area in 2008. He graduated first in his class, also receiving a perfect attendance award for the five-year program. From the start of his career through 2021, Pickens worked for ADJ Sheet Metal. During his time there, the company tripled in size to more than 300 employees, and Pickens gained experience in many different areas of the industry.

This experience led to Pickens teaching a variety of courses at his local union’s training center, and in 2023 he was named training coordinator. Pickens became a general fund trustee in 2022, working with the business manager to oversee various funds and ensure accounts are in good standing at Local 100, where he is still a dues-paying member. He holds over a dozen industry certifications and has participated in extensive instructor training from the International Training Institute (ITI), the education arm of the unionized sheet metal, air conditioning and welding industry, over the years.

Congratulations, Brother Pickens!

Wage theft and worker misclassification are forms of exploitation that litter the construction industry, where unscrupulous employers take advantage of employees to pay them less than what they are owed. A recent Economic Policy Institute (EPI) study found that construction workers lose out on as much as $16,729 per year in income and job benefits; the EPI also reported that wage theft costs American workers as much as $50 billion per year — more than annual robberies, burglaries and motor vehicle thefts combined.

SMART locals are fighting against such practices from coast to coast – helping workers win the pay that they deserve.

Watch coverage of victories against wage theft and worker misclassification by SMART local unions.

“Wage theft is occurring everywhere in the construction industry, and employers will take advantage of those people who may not know what their rights are or have any idea of what prevailing wages are,” SMART Local 16 (Portland, Oregon) Business Manager Brian Noble explained in a recent episode of SMART News. “That’s who they prey on.”

SMART Local 16 has filed 10 prevailing wage complaints against 360 Sheet Metal, an aggressively anti-union contractor in Vancouver, Washington, whose workers previously went on strike after joining Local 16. The company was paying workers $12 to $15 an hour for fabricating duct in its shop, at a time when the prevailing wage (which applies to fabrication of ductwork in the state) was more than $65 an hour.

The Washington Department of Labor & Industries has resolved four of the 10 complaints so far.

“In those four cases,” Noble said, “they found that [the owner of 360 Sheet Metal] owed over $200,000 in back wages to 20 workers, and they assessed $115,000 in penalties for failing to pay prevailing wage in the shop.”  

In Virginia, meanwhile, SMART Local 100 filed a complaint with the U.S. Department of Labor (DOL) alleging that a nonunion contractor on the Potomac Yards Metro Station project had misclassified sheet metal workers performing metal roofing work on the station. This resulted in them being paid approximately 60% less than the prevailing wage – hurting those workers and taking work away from Local 100.

“Misclassification is pretty rampant across the country,” explained Local 100 Marketing Director Chuck Sewell to SMART News. “Our contractors have to abide by certain rules, they have to pay certain rates, they know what the rates are, so that’s how they bid the projects. If you have these low-wage contractors come in and undercut everybody and get the project, it takes work hours from the local.”

The DOL investigation, which ended in the fall of 2022, found that the employees in question were, in fact, misclassified, resulting in more than $288,000 in back wages being recovered for eight workers.

Such wins against wage theft and worker misclassifications are critical for employees, ensuring that they are fairly compensated for their labor. They also demonstrate the crucial role unions play in representing all workers, including those who have yet to be organized.

“It’s important that we make sure all workers are represented and get what they deserve,” Noble concluded. “[It’s vital] that we stop these employers from undercutting our contractors and the industry, and most importantly, that these underrepresented workers are getting what’s truly owed to them.”

SMART Heroes graduate and Local 100 member Giann Salicrup greets SMART GP Joseph Sellers

On November 7, SMART welcomed representatives from the U.S. Department of Labor, Pfizer, PhRMA, the Ironworkers and SMART veterans from multiple branches of the United States military for a celebration of SMART Heroes — a partnership between SMART, SMACNA, Helmets to Hardhats and the International Training Institute that provides seven weeks of sheet metal industry training (equivalent to the first year of apprenticeship training) to active-duty U.S. military members and recent veterans.

As part of the event, current reservist, SMART Heroes graduate and SMART Local 100 (Washington, DC area) second-year apprentice Giann Salicrup presented a Squad Level Sponsor award and a Company Level Sponsor award to PhRMA President and Chief Executive Officer Stephen Ubl and Pfizer Director of Government Relations Jim DeMay, respectively; a recognition of both organizations’ generous financial support for SMART Heroes.

“What a great marriage this is, in terms of military servicemembers matriculating into apprenticeship programs,” said Ubl when accepting his award. “Congratulations on this great program — we are proud to support it.”

“Not only does SMART Heroes afford servicemembers the chance to enter into an apprenticeship program with advanced placement, it’s giving that transitioning soldier a sense of security — a real job, a real career with benefits, retirement security, the ability to sustain their family.”

The event kicked off with remarks from SMART General President Joseph Sellers, who pointed out how programs like SMART Heroes provide a sense of stability not just for servicemembers and veterans, but for their families as well.

“When soldiers are transitioning out of the service, they’re not sure what to expect, where they’re going — do I have a job, will I have healthcare, will I be able to support my family?” Sellers said. “Not only does SMART Heroes afford servicemembers the chance to enter into an apprenticeship program with advanced placement, it’s giving that transitioning soldier a sense of security — a real job, a real career with benefits, retirement security, the ability to sustain their family.”

The Honorable James D. Rodriguez, assistant secretary for the Department of Labor’s Veterans’ Employment and Training Service, echoed Sellers’ point about the importance of programs like SMART Heroes for the spouses and families of veterans. He also emphasized the Department of Labor’s commitment to partnering with unions to help servicemembers and veterans transition into the workforce.

“It’s a natural fit to want to go to an organization where servicemembers have a sense of camaraderie, teamwork, mission,” Rodriguez remarked. “We know that our veterans who participate in apprenticeship programs have financial security.”

“I’m just happy to be here, to be able to do this work with you all,” he added.

Watch coverage of the November SMART Heroes event in episode four of SMART News.

Other speakers included Eric Dean, president of the Ironworkers; Martin Helms, executive director of Helmets to Hardhats; and Michael Harris, administrator of the International Training Institute. Harris noted that the SMART Heroes program is approaching its fifth year of existence and is already nearing the 500-graduate benchmark — a remarkable achievement. Helms, meanwhile, explained that programs like SMART Heroes and Helmets to Hardhats really have one mission: “To change veterans’ lives. Making sure young individuals like Giann here have the opportunity to transition to these life-changing careers.”

SMART Director of Organizing Darrell Roberts, himself a veteran, concluded the event by thanking the attendees and praising the cooperation of all parties involved.

“It takes a village, and you’re all part of our village, so thank you very much,” he declared.

In late July, members of the SMART Transportation Division in Virginia showed what union camaraderie is all about, gathering with their families during the annual Virginia TD Summer Bash. The celebration also demonstrated the role SMART members play in their local communities, across both sheet metal and transportation. In honor of Dalton Fox — the young boy who forged a special bond with Virginia TD members, and who tragically passed away in 2021 — Virginia TD presented Jennifer Fox, Dalton’s mother, with a metal golf cart made by SM Local 100 (Washington, D.C. area); a reference to the golf cart Virginia TD originally refurbished to help Dalton move around.

“She loves the tribute and the love SMART has shown for her son,” said Virginia State Legislative Director Ronnie Hobbes. “She really enjoyed the Summer Bash, hanging out and telling stories about her son to all our members. This is what the SMART Army is all about.”