NJDOL Issues Stop-Work Order at American Dream Mall

Linitos Construction halted for wage violations and improper worker classification; hearing set for October 17, 2024.

The New Jersey Department of Labor and Workforce Development (NJDOL) has issued a stop-work order to Linitos Construction of Newfield, N.J., for multiple violations while performing work at the American Dream Mall in East Rutherford. The order, issued on September 20, 2024, halts the contractor’s operations on a store interior construction project due to violations of New Jersey’s labor laws.

Linitos Construction was found to have violated several key regulations, including failing to pay prevailing wages, late wage payments, improper employee classification, failure to register as a public works contractor, and issues with earned sick leave records and notification requirements. Three workers were affected by these violations.

The NJDOL has issued 177 stop-work orders since gaining expanded powers in 2019, which allow the agency to shut down work sites where labor violations are found. These orders aim to prevent the exploitation of workers and enforce compliance with state labor laws. Employers who receive a stop-work order may appeal the decision, and Linitos Construction has a hearing scheduled for October 17, 2024.

Should Linitos Construction continue to operate in violation of the stop-work order, the company faces civil penalties of $5,000 per day. The stop-work order will remain in effect until all back wages, penalties, and violations are resolved.

The NJDOL has also partnered with the New Jersey Department of Community Affairs and the New Jersey Department of Education to remind local governments and boards of education about their responsibilities under the New Jersey Prevailing Wage Act. The NJDOL encourages entities to consult the list of registered public works contractors to ensure compliance and avoid project delays.

Registered public works contractors are required to participate in Registered Apprenticeship programs, which help develop the local workforce and ensure public funds contribute to training New Jersey construction workers.

For more information on worker protections and benefits, visit the NJDOL's resource page at myworkrights.nj.gov.