Rivian subcontractors to pay overtime wages

SPRINGFIELD (The Center Square) – Subcontractors for an Illinois-based electric vehicle maker have settled with the state over back overtime wages. 

Illinois Attorney General Kwame Raoul announced a consent decree with construction subcontractors building a new production line for Rivian Automotive Inc. in Normal. The settlement requires two subcontractors to pay over $300,000 in back wages and penalties to resolve allegations that they failed to pay Mexican laborers overtime wages. 

The consent decree Raoul filed requires China-based Guangzhou MINO Equipment Co. and Florida-based BIW Automotive Solution Inc. to pay owed overtime wages and civil penalties totaling $315,000 to 59 workers who were denied overtime wages they earned. 

“These settlements should send a message that employers cannot hide behind subcontractors to avoid responsibility for stolen wages, and I appreciate the Illinois Department of Labor’s collaboration,” Raoul said. “I am committed to holding businesses, large or small, accountable for violating laws that safeguard workers and support law-abiding businesses in Illinois.”

The investigation began following a tip from the IBEW Local 197 related to alleged workplace violations by Rivian subcontractors.  

In February 2020, Raoul joined a coalition of 18 attorneys general in filing a lawsuit challenging a U.S. Department of Labor rule that would have eliminated protections for workers under the Fair Labor Standards Act. According to Raoul, the rule, which was eventually invalidated, would have undermined protections against unlawful conduct uncovered during the investigation into Rivian’s subcontractors.

Kevin Bessler, The Center Square

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Kevin Bessler reports on statewide issues in Illinois for the Center Square. He has over 30 years of experience in radio news reporting throughout the Midwest.

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The Center Square

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The Center Square -- formerly known as Watchdog.org and the Illinois News Network -- and their reporters represent 18 states across the United States as the taxpayers' watchdog, exposing the way government really works.

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