(KNSI) – The Minnesota Department of Labor and Industry is ordering two companies to pay $54,000 in back wages to 20 construction workers after an investigation found that those workers were underpaid during a state-funded project in 2018 and 2019.
“Skilled construction workers involved in state-funded projects must be paid the appropriate prevailing-wage rate based on the services they perform,” DLI Commissioner Roslyn Robertson said.
The DLI says Azure Construction Inc. in Detroit Lakes misclassified nine employees, and as a result, they were underpaid for their work on the roof replacement project at Camp Ripley. Azure Construction will pay those workers more than $35,000 combined in back pay, plus an $8,000 fine for not keeping adequate employee records.
A second company on the same project, Western Products Inc. of Moorhead, also underpaid 11 workers by misclassifying them. The DLI says that company will dole out more than $18,000 in back pay.