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US consulate builder in Milan to pay $35 million over labour probe, document shows
The deal would regularize about 500 workers and could lead prosecutors to seek dismissal of the case after payment.
On September 27, US builder Caddell Construction committed to pay €30.941 million to settle a labour exploitation probe at the new US consulate in Milan.
Italian authorities placed the company under judicial administration on May 29 after Milan prosecutors and Carabinieri police accused it of recruiting workers in India and employing them on "exhausting shifts, underpaid, without safety protections and under the constant threat of dismissal."
Caddell agreed to pay nearly €20 million to workers in overtime and compensation, plus over €7 million to INPS and €4 million to the Labour Inspectorate, while regularizing around 500 workers and securing residence permits for 270.
Sources indicate Milan prosecutors will dismiss the case against Caddell's Italian unit once payments are made, though executive Michael Angelo Ranieri stressed the commitments "do not imply any acceptance of the legal and factual assessments made by the authorities involved."
This settlement marks the latest in a series of probes by Milan prosecutor Paolo Storari, which have forced companies to grant rights to more than 60,000 workers and enabled authorities to recover more than €1 billion.
The American company will pay more than 30 million euros for the operation of workers at the construction of the US consulate in MilanCaddell Construction agreed to pay €30.941 million after an investigation into working conditions at the construction of the US consulate in Milan.
The company did not admit guilt.