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Labor union accuses 3 companies contracted by Hennepin, Ramsey counties of stealing $700K in wages

Labor union accuses 3 companies contracted by Hennepin, Ramsey counties of stealing $700K in wages

CBS News4 days ago
A union representing thousands of workers is accusing three Twin Cities businesses contracted by Hennepin and Ramsey counties of stealing wages.
The stolen funds could surpass $700,000, according to SEIU Local 26.
More than 70 workers for these contractors have been underpaid between five to twelve dollars an hour, the union said.
SEIU Local 26 is pointing the finger at cleaning companies PK Services and Squeaky Services, and security guard service Black Knight Protection Agency.
"These workers deserve every cent that they have earned, they've worked so hard for. They need to be made whole," said Jen Guertin, an officer at the St. Paul Regional Labor Federation.
The union said they have reviewed pay stubs and spoken with workers, like Jhonnier Gazo.
Gazo said he makes $18 per hour working for PK Services. He said he found he should be making what's called a prevailing wage, a required pay of $27.80 per hour in Ramsey County, accounting for pay and benefits.
"Although I'm afraid of losing my job, I am not afraid to raise my voice," said Gazo through an interpreter.
Paul Beckfeld, the founder of PK Services, said the wage theft allegations are not true. A department of labor audit from a few years ago did find pay errors, but they've since been corrected, he said.
Gregory Murphy said he works for Black Knight Security and found he was underpaid by nearly $6 an hour.
"I demand that Black Knight pays us what they owe us. This is not fair and we will not stay silent," said Murphy.
Neither Black Knight Security nor Squeaky Services would comment on the allegations.
The union said there are active investigations, by both the Hennepin and Ramsey County attorneys offices, but neither would comment on if there's an investigation.
"We would call on the counties to terminate the contracts with these contractors, as the counties are legally entitled to do," said Greg Nammacher, president of SEIU Local 26.
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