Orange Regional Medical Center, which is building the first new hospital in the state in three decades, is using HBE of St. Louis as its construction manager for the town of Wallkill project. And HBE, according to the hospital, hired another contractor who has, in turn, ended up in hot water with the state.
New York Professional Drywall (NYPD) of Orange County was selected as the carpentry contractor for the new hospital. The state Department of Labor (DOL) said NYPD brought crews from out of state who were paid off the books, according to a prepared statement by state Department of Labor Commissioner Colleen Gardner.
Local carpenters”™ unions were vocal when ORMC said the job had been given to a private contractor, and other unions not chosen for the hospital job picketed the hospital”™s groundbreaking ceremony two years ago. The hospital has a mix of union and private contractors building the new hospital, expected to be completed in 2011.
According to the DOL”™s Order to Comply, NYPD must pay workers a total of $118,274 for unpaid overtime and illegal deductions, plus interest. Another $129,590 in penalties was assessed by the DOL”™s division of labor standards. The Dep. Has already collected 17,343 for non-payment of wages for 15 workers. The total amount of wages and interest owed workers, plus penalties plus wages owed already collected, is $265,208.
Spokesman Rob Lee referred the matter to HBE, saying HBE is responsible for hiring the subcontractors.
HBE did not respond to a reporter”™s request for comments by press time.
