June 25, 2006

Here comes the stories about homebuilders not paying the subcontractors and the Mexicans getting pissed

When the Phoenix economy hit the skids in 2001, you saw some housing developments go kaput right in the middle of construction.

When the builder is in trouble, they stop paying their subs. Then the subs can't pay the illegal Mexicans. Oops, I mean carpenters. And as HP predicts, when the layoffs and stop-payments hit this community, watch out. Here's the first of many articles to come. Yes, folks, it's all connected.

Firm is failing to pay its carpenters - Says it awaits cash from home builders

More than 100 workers at a Scottsdale construction framing company haven't been paid in several weeks, and that has Latino community advocates concerned that some employers are taking advantage of workers.

Veemac Framing Corp., a subcontractor for some of the Valley's top home builders, acknowledged that it has not paid the workers, who are owed three to five weeks of back pay. Company officials blamed a financial dispute with two home builders and a third company that is hindering its cash flow. Veemac said it would pay the workers as soon as the dispute is worked out.

The company plans to pay the workers as soon as it negotiates payment from two of its customers, U.S. Home and Richmond American Homes.

The unpaid workers, most of whom have work permits and are authorized to work here, began showing up at radio station La Campesina last week.

14 comments:

Dogcrap Green said...

I read that same story friday and thought about posting. But I figure payment disputes happen all the time. During the hight of the boom I was 90 behind recieving payments from Beazer Homes.

Of course none of those stories made the press, because the bubble heads couldn't make their link then.

May be no link is still there.

Anonymous said...

Employers would face fines of up to $10,000

Employers found to have knowingly hired illegal workers would be subject to orders to stop the practice. If they fail to do so — essentially a second chance — they would be subject to fines of up to $10,000.

Anonymous said...

When the Illegas marched in LA there was no traffic and it was a nice place to live.

Anonymous said...

I think it is bullshit most of the workers are legal. Hah! Where did the Visa's come from? I can't get greencards for Software Engineers with Master's degree's, who is handing out work permits to mexicans?

If someone investigates this company they will find most of the workers with claims have forged documents. The employeers just say (wink, wink) you have to show me a card proving you can work here, and the worker just contacts someone in their LaRaza community to provide the forged documents for $50. The employeer justs goes (wink, wink) I met the letter of the law.

They I don't believe in screwing people, and a contract is a contract, even with an illegal for below market wages. (I digress, what is the market wage when its full of illegals?)

Anonymous said...

Gotta agree with dogcrap green. In my working career, I have gone for 4-5 weeks without pay for the same reason, i.e. builder or main contractor stiffing the subs. Subs can't pay their workers (me). Goes with the business. Happens all the time. Just never made the news before all the illegals. I always eventually got paid, just kinda hard living on nothing for a month!

Anonymous said...

Keith,

Remember a few weeks when I stated that Phoenix was going to become the arson capital of the world? Here it comes, baby...

blogger said...

nope - the burning flag was at a illegal mexicans rally the other month

Anonymous said...

We should ignore the illegal immigration problem because it is not politically correct. Anyone who thinks there should be law and order is a racist. End of discussion

Anonymous said...

There has always been illegal immigration. I remember the Irish ones in the 1980's in Boston till that country turned around.

And of course there are the chinese illegals in the garment district, restaurants, etc.

The problems with the current mexican one is:

- We share a long border, so the scale is very high. When you have to fly here and get past customs, it raises the bar.

- Since the numbers are so large, they no longer have to hide at the margins, and step right up and use our hospitals for free, enroll in our public schools for free, and even get in state college tuition. Hey, we are even making everything in spanish so they don't have to learn our language.

- And the point that changed my mind from "hard working mexicans" is the demonstrations where they are burning our flag, demanding their "rights" to be citizens, claiming they are "taking the country back", and using our services. I have never seen an immigrant group before *invade* us and make these demands. I have *never* seen our government just allow it and *DO NOTHING*. If they want to re-claim their land, I say do it the same way we got it, and have an honest *WAR*. I have no problem fighting mexico again...

Anonymous said...

Political Correctness is about controling language, which often hides the truth. Why not state the obvious?

Anonymous said...

If Mexicans looked like Irish or Germans they would no longer be a protected minority. Suddenly, keeping out Mexicans would be totally respectable up and down the skewed "left-right" political spectrum, except possibly for white nationalist types.

Anonymous said...

Letts just start catching them and throwing them over the fence

Anonymous said...

Letts just start catching them and throwing them over the fence

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