NYC Demolition Company to Pay $1.4M for Workers’ Rights Violations

URGENT UPDATE: A New York City demolition company, Alba Services, has just been ordered to pay $1.4 million to approximately 700 employees following serious violations of workers’ compensation laws. This restitution agreement was announced by the New York Attorney General’s Office today as part of an extensive investigation into the company’s practices spanning from 2016 to 2024.

Prosecutors revealed that Alba Services systematically denied workers the compensation they were entitled to, fostering a hostile work environment and retaliating against those who attempted to file claims. Investigators found alarming evidence that the firm instructed many employees to refrain from filing claims with the Workers Compensation Board, leading to a significant underreporting of injuries.

Attorney General Letitia James stated, “For nearly a decade, Alba silenced injured workers, manipulated insurance costs, and allowed a culture of harassment to fester on its worksites. We have made sure that Alba can no longer threaten, intimidate or exploit its workforce.” This statement underscores the critical importance of protecting workers’ rights in an industry often plagued by exploitation.

The AG’s investigation uncovered that between 2016 and 2024, Alba Services reported less than half of the injuries it was legally obligated to document, thereby keeping claims artificially low and reducing its insurance costs. This practice not only jeopardized the safety and dignity of employees but also undermined their fundamental rights.

Allegations against Alba extend beyond financial misconduct. Prosecutors disclosed that the company engaged in intimidation tactics, including posting fliers of employees who filed claims, threatening them with criminal prosecution, and offering monetary rewards for information about these individuals. Owner Andrew Horan reportedly sent messages to foremen, illegally naming employees who had filed claims and soliciting information about them.

In an egregious breach of trust, Alba Services also interfered with employees’ medical treatment, sending company representatives to accompany them on medical appointments and misrepresenting the nature of their injuries. The company directed workers to specific clinics with which it had agreements, effectively concealing workplace injuries and obstructing workers’ compensation claims. In some instances, workers were sent to urgent care centers for severe injuries that necessitated emergency room treatment.

Moreover, the AG’s office highlighted that Alba failed to address serious human rights violations, including widespread sexual harassment, and retaliated against employees who reported misconduct.

As this case evolves, the implications for Alba Services are significant. The company must now navigate the repercussions of this agreement and the potential for further legal actions. Workers who have suffered under Alba’s practices may finally see justice as the AG’s office remains committed to advocating for their rights.

What’s Next: The Attorney General’s office is expected to monitor Alba Services closely in the coming months to ensure compliance with the restitution agreement. This case serves as a critical reminder of the importance of safeguarding workers’ rights in high-risk industries, and it raises urgent questions about the practices of other companies operating in similar environments.

Stay tuned for further updates as this situation develops. Share this story to spread awareness of the fight for workers’ rights in New York City and beyond.