http://www.dailyherald.com/business/story.asp?id=203475


Day laborers take aim at service agency
By Tara Malone
Daily Herald Staff Writer
Posted Wednesday, June 28, 2006


Five suburban immigrants Tuesday accused an Elk Grove Village-based day labor service of illegally docking their overtime pay, withholding timecards and requiring them to pay for transportation to jobs, according to a lawsuit filed in Cook County court.

The class action lawsuit marks the first test of the day labor law Gov. Rod Blagojevich signed last year.

The Day and Temporary Labor Services Act tightened existing laws, protected workers from illegal pay cuts or mandatory transportation fees and levied hefty fines on companies that do not provide fair wages and insurance as required.

Labor supporters say Staffing Network LLC is a fitting first case given the company’s size and influence in the local service agency market.

“It definitely sends a message to the other agencies out there,” said Tim Bell, executive director of the Chicago Workers Collaborative. “This is just the tip of the iceberg.”

Staffing Network officials declined to discuss details of the lawsuit Tuesday, but said they comply with labor laws.

Irma Abraham, Guadalupe Alfaro, Graciela Mendez, Maria Ortegon and Jose Zarco — immigrant workers who live in Addison, Hanover Park and Hoffman Estates — contend they did not receive overtime when they logged more than 40 hours a week.

The lawsuit also alleges workers routinely were denied the daily employment notice that allows them to collect pay at the week’s end and they were required to pay $4 a day for transportation to job sites — a cost prohibited by the new law.

Stretched across five days a week and 52 weeks a year, that amounts to more than $1,000.

“It didn’t just happen with me. It happened with others, too,” Abraham, 43, of Hoffman Estates, said in Spanish.

Staffing Network operates in Illinois, Michigan and Nevada, pairing workers in need of a job with companies in need of an extra hand in everything from manufacturing and food production to distribution.

The company’s role in the suburbs is broad. Staffing Network offices exist in Aurora, Hanover Park, Palatine and Villa Park, among other towns.

“We run a good and compliant company. It’s a proud company,” President Bob Loughman said, noting he had not yet seen or reviewed the lawsuit. “We’re compliant with the things we need to be compliant with.”

The legal expectations of temporary service agencies heightened late last year when lawmakers approved a measure intended to protect more than 300,000 day laborers across Illinois.

Agencies now are required to give proof of workers compensation and unemployment insurance. The cost of meals or equipment needed for the job cannot be deducted from a worker’s paycheck. Companies that don’t adhere to the new laws risk fines of up to $6,000.