NJDOL Halts Construction at American Dream Mall Over Labor Violations

Top Construction Group Inc. faces penalties after failing to register and obstructing a state investigation at Xiang Restaurant job site in East Rutherford.

The New Jersey Department of Labor and Workforce Development (NJDOL) issued a stop-work order on October 1, 2025, against a Brooklyn-based construction company operating at the American Dream Mall in East Rutherford, citing violations of state labor laws.

The enforcement action targeted Top Construction Group Inc., a contractor based in Brooklyn, New York, which was performing work at the Xiang Restaurant located within the sprawling retail and entertainment complex.

Violations and Enforcement

The NJDOL’s Division of Wage and Hour Compliance issued the order after determining that Top Construction Group had:

• Failed to register as a public works contractor in New Jersey

• Obstructed the department’s investigation into the company's compliance

The violations impacted four workers on-site. As a result, all construction activities led by the contractor at the Xiang Restaurant location were ordered to cease.

This action is part of NJDOL’s broader enforcement efforts under expanded powers granted in July 2019, which enable the department to halt work deemed exploitative or noncompliant with state labor laws. Since then, the department has issued 207 stop-work orders.

Next Steps and Penalties

Under New Jersey law, employers served with a stop-work order have the right to appeal. If an appeal is filed, NJDOL is required to schedule a hearing within seven days. Civil penalties of $5,000 per day may be assessed against any employer continuing operations in violation of such an order.

The stop-work order may be lifted once all back wages, penalties, and compliance issues are resolved.

Broader Compliance Efforts

The NJDOL has emphasized that contractors working on public projects must be registered and in compliance with the New Jersey Prevailing Wage Act, which governs wage standards for publicly funded construction. Letters were recently sent by the NJDOL, in coordination with the New Jersey Department of Community Affairs and the Department of Education, reminding local governments and school boards of their legal obligations when hiring contractors.

A searchable online database of registered public works contractors is maintained by NJDOL, allowing agencies and organizations to verify eligibility before awarding contracts. Registered contractors are also required to participate in Registered Apprenticeship programs, supporting workforce development within New Jersey's construction industry.

More information on workplace rights and contractor obligations can be found at myworkrights.nj.gov.