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Major Pennsylvania state contractor accused of fleecing employees to pump up profits

Major Pennsylvania state contractor accused of fleecing employees to pump up profits
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Major Pennsylvania state contractor accused of fleecing employees to pump up profits

HARRISBURG — A major Pennsylvania government contractor has been accused of siphoning millions of dollars in retirement and health benefits from its employees, state authorities said Thursday. Glenn O. Hawbaker Inc., a State College construction and paving company that has been paid more than $1.7 billion for state projects, was charged Thursday with four counts of theft for allegedly violating state and federal labor laws requiring all employers that receive state or federal funding to pay workers the same rate in wages. The charges, the result of a three-year investigation by the state Office of Attorney General, allege that the company circumvented the state’s Prevailing Wage Act, as well as federal labor law, by using more than $20 million in retirement and other benefits meant for its employees to lower its costs and increase profits.

State College Contractor Hawbaker Accused Of Fleecing Employees To Pump Up Profits

. HARRISBURG A major Pennsylvania government contractor has been accused of siphoning millions of dollars in retirement and health benefits from its employees, state authorities said Thursday. Glenn O. Hawbaker, Inc., a State College construction and paving company that has been paid more than $1.7 billion for state projects, was charged Thursday with four counts of theft for allegedly violating state and federal labor laws requiring all employers that receive state or federal funding to pay workers the same rate in wages. The charges, the result of a three-year investigation by the state Office of Attorney General, allege that the company circumvented the state’s Prevailing Wage Act, as well as federal labor law, by using more than $20 million in retirement and other benefits meant for its employees to lower its costs and increase profits.

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