Foreign workers involved in the construction of a $350 million U.S. Consulate in Milan reported receiving less than $2 an hour, despite promises of fair wages. This information comes from interviews conducted by the Associated Press with five former employees, along with a review of their employment letters and pay stubs. Italian prosecutors are currently investigating Caddell Construction, based in Montgomery, Alabama, which is the primary contractor for the project. Two managers from the company were arrested this month on charges of labor exploitation.
The investigation, led by prosecutor Paolo Storari, has been ongoing for approximately six months and involves around 70 workers, primarily from India. Allegations include illegal deductions for room and board from wages and forced labor conditions, with some workers reportedly earning as little as 500 euros (less than $580) monthly after deductions. The minimum wage for construction workers in Milan is approximately 13.39 euros (over $15) per hour.
Both Caddell and the U.S. State Department have stated they are cooperating with the investigation. The State Department emphasized its commitment to addressing labor exploitation. Caddell has expressed its commitment to fair treatment and payment of workers and is conducting its own inquiry into the matter.
The workers, who spoke on the condition of anonymity due to fear of retaliation, reported being threatened when they questioned their pay. They provided documentation indicating they were promised salaries significantly higher than what they received. Some workers have sought assistance from trade unions, while others have faced housing difficulties after losing their jobs.
Caddell has previously settled allegations related to false claims to access government incentives but did not comment on that case in response to inquiries.