The Illinois Department of Labor (IDOL) has recovered nearly $400,000 in unpaid wages tied to violations of the state’s Prevailing Wage Act, underscoring ongoing enforcement efforts aimed at protecting construction workers and maintaining fair competition among contractors.
In a May 6 announcement, the agency said it secured more than $398,000 in back wages for 29 workers across three separate investigations involving public construction projects in DuPage, Jackson and Henry counties.
The enforcement actions also resulted in more than $79,000 in penalties assessed against the employers for violations ranging from worker misclassification to payroll reporting failures and improper wage payments.
The largest recovery involved General Energy Corp., where IDOL investigators examined five worksites in DuPage County and found violations affecting 16 employees.
According to the agency, the company misclassified workers by trade and failed to pay the correct prevailing wage rates, including required fringe benefits. IDOL recovered approximately $296,000 in unpaid wages and assessed more than $59,000 in penalties. The employer admitted to the violations, according to the department.
A separate investigation involving Lake of Egypt Docks in Jackson County found multiple violations affecting eight workers at a single project site. IDOL said the company failed to comply with certified payroll reporting requirements, improperly classified workers and violated overtime pay provisions under the Prevailing Wage Act.
The agency determined the employer owed roughly $75,000 in unpaid wages and assessed nearly $15,000 in penalties.
In Henry County, investigators found that Empire Electric Inc. paid incorrect base and fringe benefit rates to employees and improperly used an apprentice electrician classification for a worker who was not enrolled in a recognized apprenticeship training program.
As a result, IDOL recovered more than $28,000 in underpayments for five workers and assessed penalties exceeding $5,600.
“Illinois laws require companies engaged in public construction to classify workers correctly and pay them the full wages they are owed for time worked,” said IDOL Director Jane Flanagan. “Employers who violate these laws not only harm their employees but also undermine fair competition in the construction industry.”
The Illinois Prevailing Wage Act establishes wage standards for laborers, mechanics and other workers employed on publicly funded construction projects throughout the state. Contractors and subcontractors working on qualifying public projects are required to pay prevailing wage rates established by the Illinois Department of Labor.
The agency said that in fiscal year 2026 alone, it has recovered more than $906,000 for workers under the Prevailing Wage Act.
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State labor officials encouraged contractors and employers to review their payroll, classification and reporting practices to ensure compliance with Illinois wage laws and avoid enforcement actions.
The department also said it remains committed to protecting workers’ rights while ensuring that contractors operating legally are not placed at a competitive disadvantage.
Additional information and compliance resources related to the Illinois Prevailing Wage Act are available through the Illinois Department of Labor.
Originally reported by Illinois Government.
