New Jersey Labor Department Halts Operations at American Dream Mall Due to Contractor Violations

Two More Contractors at East Rutherford’s American Dream Mall Face Stop-Work Orders Over Labor Violations

In a continuing crackdown on labor violations, the New Jersey Department of Labor and Workforce Development (NJDOL) has issued stop-work orders to two more contractors engaged in construction at the American Dream Mall in East Rutherford. The orders, dated March 19, target Metro Construction and Design Inc. and Time’s Electric Inc. for a series of compliance failures, including unpaid wages and failure to register properly.

Metro Construction and Design Inc., based in Flushing, N.Y., was penalized while working on the Kaiten Zushi outlet within the mall. This action follows a similar order issued on March 12 to S&S Plumbing of Wayne, the company that hired Metro Construction. The main violations cited include failure to register, failure to pay the prevailing wage, and issues related to the late payment of wages.

Time’s Electric Inc. of Hazlet faced more extensive allegations while working at the Miniso store. Their violations encompass a broader spectrum of labor law breaches, including the improper classification of construction workers, failure to pay minimum wage, and deficiencies in managing earned sick leave notifications and records.

Since July 2019, when NJDOL's authority to issue stop-work orders was expanded, the department has enforced 158 such orders to combat worker exploitation and ensure compliance with state laws. These measures underscore the department's commitment to protecting workers' rights and maintaining fair labor practices within the state.

Employers subjected to these orders have the right to appeal, triggering an obligation for NJDOL to schedule a hearing within seven days. Meanwhile, NJDOL retains the authority to impose civil penalties of up to $5,000 per day on any employer found to violate a stop-work order.

The issuance of these orders is part of a broader initiative by NJDOL, in collaboration with the New Jersey Department of Community Affairs and the New Jersey Department of Education, to educate local governments and educational boards about their responsibilities under the New Jersey Prevailing Wage Act. This initiative is crucial for ensuring that public works projects proceed without unnecessary delays, safeguarding the interests of workers, businesses, and taxpayers alike.

NJDOL also emphasizes the importance of hiring contractors from its registered public works contractors list, a measure that not only ensures compliance with labor laws but also supports the training of New Jersey workers through Registered Apprenticeship programs. This approach aligns with the state's objectives of fostering a skilled workforce and promoting fair labor standards across all sectors.

For additional information on worker benefits and protections, NJDOL directs individuals and businesses to visit myworkrights.nj.gov, a resource designed to guide New Jersey’s workforce through the complexities of labor laws and rights.