Oregon Bureau of Labor & Industries Supports Worker Protections in TMG Investigation
The Oregon Bureau of Labor & Industries (BOLI) is taking strong action in a major labor rights case involving TMG Wall Systems Inc. and several related companies. TMG, an Alaska-based contractor, is being investigated for failing to pay workers for all hours worked, including overtime, on federally funded projects in Oregon. The allegations also involve misclassifying employees and not providing proper wage records.
In a letter to the Department of Homeland Security (DHS), BOLI expressed its support for granting immigration protections to workers impacted by this case. These protections would allow workers to cooperate with the investigation without fear of immigration-related retaliation. The investigation has expanded to include other companies, such as CYO Construction LLC and Better Built USA Inc., that may have been involved in similar practices.
The Need for Immigration Protections
Many workers in industries like construction are immigrants, and fear of deportation or retaliation can stop them from reporting labor violations. BOLI’s letter emphasizes that these fears can make it harder to enforce labor laws. By granting protections like deferred action or work permits, workers would feel safer stepping forward to share what they know.
BOLI pointed out that employers sometimes use immigration status as a tool to silence workers, making it even more difficult to hold them accountable. The agency said immigration protections would help remove these barriers, allowing workers to participate in investigations without fear of losing their jobs or facing legal consequences.
TMG’s Actions Under Investigation
TMG Wall Systems and its affiliated companies have been accused of exploiting between 20 and 80 workers on projects that were supposed to follow strict federal labor laws. Some workers have claimed they were not paid for overtime, while others say they were misclassified as independent contractors, which allowed the company to avoid paying benefits.
BOLI noted that TMG failed to keep proper pay records, leaving many workers without clear proof of their employment. This has made the investigation even more challenging, but worker testimonies have been crucial in building the case.
Since being shut down in Oregon, TMG has reportedly sought new work opportunities in Washington, raising concerns that similar violations could continue in other states.
TMG Taking Their Misconduct Elsewhere
In the hot seat in Oregon, the company is now attempting to secure work in Washington State, raising concerns about its practices migrating across state lines. Eitel Braunschweig, a labor representative in Washington has been monitoring the company and he expects more of the same in his State,
“TMG thinks it can change locations and continue the same criminal behavior but they’re in for a rude awakening. Soon there will always be eyes and ears on every jobsite. Workers will know that they can speak out without fear, and it’s my job to help make sure that they are heard.”
TMG's efforts to get work in Washington show why it's important to stay alert when jobs cross state lines. Labor groups are helping workers in Washington understand their rights and what to look out for when dealing with contractors. Stronger protections for workers and better enforcement can stop unfair companies from bringing bad practices to new areas.
Impact on the Construction Industry
This case highlights issues that are consistently prevalent within the construction industry, where immigrant workers often make up a large part of the workforce. Without proper enforcement, employers who break labor laws gain an unfair advantage over those who follow the rules. This creates an uneven playing field and encourages further exploitation of vulnerable workers.
BOLI’s investigation aims to ensure that companies like TMG cannot benefit from breaking the law. By focusing on worker protections, the agency hopes to send a message that all workers, regardless of immigration status, deserve fair treatment and safe working conditions.
Next Steps
BOLI is committed to investigating the case thoroughly and ensuring that workers involved are heard. The agency’s efforts could serve as a model for other states facing similar challenges, emphasizing the importance of holding employers accountable while protecting the rights of workers.
This case serves as a reminder of the critical role government agencies play in enforcing labor laws and standing up for workers who might otherwise have no voice. As the investigation continues, it could bring significant changes to how labor laws are enforced in industries heavily reliant on immigrant labor.