Attorney General Schwalb Releases 2024 Labor Day Report Highlighting $9.5 Million Secured for Workers & District Over Past Year

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WASHINGTON, DC - Attorney General Brian L. Schwalb today released the Office of the Attorney General's (OAG) 2024 Labor Day Report, detailing the office's continuing efforts to stand up for workers, enforce the District's labor laws, and ensure all businesses in the District compete on a level playing field. From Labor Day 2023 to Labor Day 2024, OAG secured more than $9.5 million through workers' rights enforcement actions-including $5.6 million in restitution for thousands of affected workers across industries including construction, hospitality, healthcare, and the gig economy.

"Workers are the backbone of our economy, and every day we should honor them and their contributions to our communities and our country. On this Labor Day, I am proud to re-affirm our commitment to ending exploitative labor practices and ensuring that all businesses that compete in the District do so on a level playing field," said Attorney General Schwalb. "My office will always have workers' backs and will continue fighting to ensure that all workers, in all industries, are treated fairly, paid what they're owed, and get the benefits they're entitled to under the law."

OAG's 2024 Labor Day Report

OAG's new 2024 Labor Day report explains how over the past year, the office has made a significant push to stop wage theft, worker misclassification and worker exploitation through enforcement actions, outreach, and education.

The report highlights three record-breaking settlements in 2024:

• $3 million for gig worker exploitation: In May 2024, Arise Virtual Solutions, Inc., a gig-economy customer service company, agreed to pay $3 million to customer service workers and DC to resolve a lawsuit alleging that the company failed to pay workers minimum wages, overtime, and paid sick leave by misclassifying them as independent contractors rather than employees.
• $3.75 million for construction workers: In July 2024, Power Design, a major construction firm, agreed to pay $3.75 million in restitution to workers and penalties and fees to DC for a worker misclassification scheme by the company's subcontractors that involved payroll fraud and tax avoidance.
• More than $500,000 for restaurant wage theft: In July 2024, Swahili Village, a DC restaurant, agreed to pay $526,973 to restaurant workers and DC to resolve a lawsuit alleging that the company systematically stole wages and tips from its staff.

The report also highlights multiple actions to combat wage theft and other worker abuses in the restaurant industry, the construction industry, the gig economy, and other industries.

The full 2024 Labor Day Report is availablehere.

OAG's Efforts to Protect Workers

OAG's Workers' Rights and Antifraud Section is dedicated to fighting wage theft and protecting District workers. Since January 2023, when AG Schwalb was sworn in, OAG has secured nearly $15 million for workers and the District. Since gaining wage theft enforcement authority in 2018, OAG has secured over $30 million by bringing investigations and lawsuits against employers who violate District law. OAG's wage theft enforcement efforts have focused on industries with high populations of vulnerable workers, such as construction, restaurants and hospitality, healthcare, and the gig economy.

How to Report Wage and Hour Violations

Workers who believe that their rights have been violated, or that they have experienced wage theft or other wage and hour violations, can contact OAG by calling (202) 724-7730 or emailing [email protected] or [email protected].