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Construction workers allege wage theft on Journal Square high‑rise; union presses city to require payroll verification before COs

5411114 · July 17, 2025
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Summary

A construction worker and a union representative told the council that multiple workers on the Journal project were paid in cash without overtime, and that the State Department of Labor issued stop‑work orders; the union urged the city to verify payroll compliance for permits and certificates of occupancy.

A construction worker and a union representative addressed the council Wednesday to say workers on the Journal Square high‑rise were paid in cash, denied overtime and were subject to state stop‑work orders, and to urge the city to tighten permit and certificate‑of‑occupancy (CO) checks.

Why it matters: the speakers said wage theft deprives workers of pay and benefits and also denies local tax and payroll revenue that would support public services.

Diego, who identified himself as a construction worker on the Journal project, said he worked there from December 2023 until June and averaged 55 hours a week for $15 per hour paid in cash. He said the State Department of Labor issued multiple stop‑work orders on the project and that many workers will be left unpaid while investigations are pending.

Chris Capers of Laborers Local 3 said AJD and some subcontractors on major Jersey City projects are under investigation for misclassification, unpaid overtime and wage theft, and recommended that the city verify payroll taxes and compliance before issuing COs to large projects. “We are building relationships with workers…helping workers file claims with the Department of Labor,” Capers said, and asked city administrators to ensure contractors pay correct payroll taxes as a condition for occupancy approvals.

No immediate municipal enforcement action was announced at the meeting, but several council members expressed concern and said they would follow up with permitting and code enforcement staff. Speakers asked the city to confirm whether the Journal project had an issued certificate of occupancy and whether outstanding payroll‑tax or wage investigations were resolved before final approvals on the development.

Ending: union and worker representatives said they will continue to press the city and state agencies to ensure workers are paid and that the municipality adopt permit or CO checks to help prevent wage theft on high‑value projects.