A workers' compensation fraud case involving a Long Island cleaning service is one of the latest to be referred to New York State's joint enforcement task force on worker misclassification. The multi-agency task force was formed by then-Gov. Eliot Spitzer in September 2007 to address the problem of employers paying their workers off the books and other payroll schemes.
The charges against Icon Cleaning include allegations of payroll improprieties with approximately 170 cleaners -- deemed "technicians" by the company -- who spent up to 12 hours a day and 60 hours a week cleaning air ducts and carpets in homes and businesses. The case was referred to the task force because of its scope and egregiousness.
Investigators found that each employee was forced to pay a $500 security deposit upon being hired, which could either be paid for up front or illegally deducted from subsequent paychecks. Other illegalities included taking money from workers' paychecks when customers were not satisfied or the employee needed help from other employees to handle a job, and to make up the losses on discounted services in promotional campaigns. After the unlawful deductions, some workers were bringing home less than $100 a week.
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