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What this is
Construction workers at Harris County's hospital project report wage theft, prompting investigation and calls for contractor accountability.
Local labor organizations representing workers on the $1.6 billion LBJ Hospital expansion project are urging Harris County's public healthcare entity to address allegations of stolen wages and a fear of retaliation on the construction site.
The alleged issue could be affecting potentially hundreds of workers who were hired by contractors — McCorvey Sheet Metal Works LP and Chapparal Insulation — selected for the county project, labor organization leaders said in a series of recent public meetings. In response to concerns raised by workers in the past few months, Harris Health has engaged a third-party auditor to field complaints and to assist in reviewing wage-related claims.
Addressing Harris Health’s board of trustees on Wednesday, Amy Zachmeyer, the executive director of New Economy of Working Houston, said she hopes the county will act on the issues with a sense of urgency and called for an investigation into the complaints.
Allegations were also raised at an April 16 Harris County Commissioners Court meeting, when a representative of the county’s economic equity department said more than 50 complaints had been raised by workers.
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"Potentially hundreds of workers who are members of our community are being impacted by this, and it must be fully investigated," Zachmeyer said. "Any contractors that are found to be guilty of these many abuses should be barred from ever contracting with Harris Health ever again, and there have to be real consequences, including criminal if necessary."
Harris Health requires contractors and subcontractors on the project to comply with prevailing wage requirements and all applicable labor laws, a Harris Health spokesperson said. Concerns about the project were raised late last year, and Harris Health first notified one of the contract companies of an initial complaint in March, Louis Smith, Harris Health’s chief operating officer said Wednesday.
“On those items, the contractor has returned responses that they believe they have cured those items,” Smith said. “Those are still being validated and overseen by the [Harris County Department of Economic Equity and Opportunity] and our contractor. So we do not have official closure of those items yet. We do expect that we should be able to get to that point in May related to what we are doing related to those specific findings.”
The LBJ Hospital expansion project is funded by a $2.5 billion bond approved by Harris County voters in 2023. The bond is also funding the Ben Taub Hospital expansion — a project that stirred controversy after revelations that it would require the eminent domain acquisition of nearly 9 acres of Hermann Park land. The park land condemnation is expected to end in the fall, Smith said.
In a press release on Tuesday, labor organization leaders urged Harris Health to send a message to contractors that the alleged behavior — including alleged underpayment, intimidation, retaliation and gaslighting — wouldn’t be tolerated.
“Whatever a contractor is stealing from workers should not be worth the consequences when they inevitably get caught,” Armando Aguirre, a business manager with SMART Local 54 said in a statement. “Taxpayer-funded projects must have a zero tolerance policy for wage and hour violations or retaliation.”
McCorvey Sheet Metal Works LP and Chapparal Insulation did not immediately respond to a request for comment.
Key details
- Topic: Wage theft at LBJ Hospital construction project
- Amount: $1.6 billion expansion project
- Companies: McCorvey Sheet Metal Works and Chapparal Insulation
- Response: Harris Health hired outside auditor to investigate
- Who serves: Over 1 million Harris County residents
Where it reaches
- Address
- 16 Harris County Commissioners Court
- Phone
- 14888184115
Available across Houston.
Why it matters
Hundreds of workers building our new county hospital may not be getting paid properly. When contractors steal wages, it hurts families and makes it harder for honest companies to compete. These workers are building healthcare facilities that serve over one million neighbors.
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