NYC Demolition Company to Pay Workers $1.4M for Violations

UPDATE: A New York City demolition company, Alba Services, has been ordered to pay $1.4 million to 700 current and former employees following a significant restitution agreement with the New York Attorney General’s Office. This decision comes after allegations that the company consistently denied workers their rightful compensation for injuries over a span of nearly eight years.

The New York Attorney General, Letitia James, announced the settlement earlier today, highlighting that Alba Services engaged in practices aimed at silencing injured workers and manipulating insurance costs. Investigators revealed that between 2016 and 2024, Alba reported less than half of the injuries it was legally obligated to, effectively lowering its claims and insurance expenses.

“For nearly a decade, Alba silenced injured workers, manipulated insurance costs, and allowed a culture of harassment to fester on its worksites,” said Attorney General James. She emphasized that her office is committed to ensuring that companies do not exploit their workforce or create hostile work environments that jeopardize employees’ safety and dignity.

The investigation uncovered shocking tactics used by Alba Services, including explicit instructions to employees to refrain from filing claims with the Workers Compensation Board. Reports state that the company retaliated against those who attempted to lodge complaints through threats, harassment, and financial incentives to remain silent. In a particularly alarming move, Alba posted fliers targeting employees who filed claims, warning them of potential criminal prosecution and offering rewards for information about them.

Moreover, the owner of Alba Services, Andrew Horan, allegedly sent texts to foremen naming employees who sought compensation and soliciting information about them in exchange for money. This egregious behavior extended to interference with employees’ medical treatment. Alba representatives reportedly accompanied workers to medical appointments, misrepresenting the circumstances of their injuries and directing them to specific clinics to conceal workplace incidents.

Prosecutors also noted that Alba directed employees with serious injuries to urgent care centers when they required emergency room care, further obstructing their access to necessary medical treatment and workers’ compensation claims.

In addition to the violations regarding workers’ compensation, the Attorney General’s office highlighted serious breaches of human rights, citing the company’s failure to prevent sexual harassment and its retaliatory actions against employees who reported misconduct.

As this case unfolds, the implications for Alba Services are significant. Workers can expect to receive their due compensation, but the broader impact on workplace safety and employee rights in New York City remains to be seen. The urgency of this situation underscores a critical moment for labor rights, as the Attorney General’s office vows to continue monitoring and holding companies accountable for their actions.

Stay tuned for more updates as this story develops. The consequences of this ruling may set a precedent for other companies operating within the state, reinforcing the importance of protecting workers’ rights and ensuring safe working environments.