Study Finds Rampant Misclassification and Other Wage Violations in Non-Union Residential Construction Projects in Massachusetts
According to a new study from the University of Massachusetts Amherst Labor Center, the majority of builders in non-union residential construction in Massachusetts avoid treating their workers as regular employees, relying on “labor brokers” to provide a steady stream of often undocumented workers who are frequently paid in cash and have little recourse if they are injured on the job.
The study finds that practices such as illegal misclassification of workers as independent contractors, wage theft, tax fraud, and paying workers in cash are at the center of medium and large residential construction statewide in Massachusetts. Specifically, the study estimates that worker misclassification and off-the-books employment allowed Massachusetts construction employers to reduce labor costs by at least $140.4 million in 2019.
You can access the study in full here.
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