New York City Comptroller Sued Again Over Wage Rates


July 23, 2012     By Stephen D. Hans & Associates, P.C.

The Wall Street Journal reports that the Metropolitan Movers Association (MMA), a moving & storage industry trade organization is suing NYC Comptroller John Liu for the second time in the last year for allegedly discharging his duties improperly in setting the prevailing wage rate for movers who perform work on contracts with the City.
The Wall Street Journal reports that the Metropolitan Movers Association (MMA), a moving & storage industry trade organization is suing NYC Comptroller John Liu for the second time in the last year for allegedly discharging his duties improperly in setting the prevailing wage rate for movers who perform work on contracts with the City. In a March 2011 decision, NYS Supreme Court Justice Alice Schlesinger ruled in the first lawsuit, that Mr. Liu “failed to fulfill his responsibility” under the New York Labor Law when his 2010 annual schedule of prevailing wages set rates of $30.63 to $38.90 for workers employed by moving companies on City contracts. Judge Schlesinger found that in setting the abnormally high wage rates, Comptroller Liu essentially disregarded his own office’s survey results, which “reveal that workers in the moving industry, on average, receive a much lower wage of $19.19 per hour.” According to the Judge, such a substantial difference inevitably leads to “absurd results,” since workers would receive such staggeringly different pay on private jobs versus City jobs.

In the wake of the decision in the first lawsuit, which is currently being appealed, Mr. Liu has faced criticism from many quarters alleging that his actions in setting such high wage rates are harming City taxpayers.

For assistance with any prevailing wage issues, including litigation or government investigations, please call our law firm at (718) 275-6700 to arrange a consultation to find out how our attorneys can help you.

AUTHOR: Nils C. Shillito, Stephen D.Hans & Associates

Copyright Stephen D. Hans & Associates, P.C.
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