Pulte named in lawsuit
Five local painters filed a wage and hour lawsuit Friday in federal court against two contractors and one of the Las Vegas Valley's biggest home builders.The class action lawsuit claims that Centennial Drywall Systems and Burnham Painting and Drywall Corp. -- both contractors that Pulte Homes retains to perform work on its local new homes -- have failed to pay the plaintiffs for overtime work performed within the past four years.

Pulte named in lawsuit
Subcontractors accused of not paying overtime

By JENNIFER ROBISON
REVIEW-JOURNAL

Norma Uribe, a painter at Burnham Painting, speaks about her concerns about unpaid wages outside court Friday. Uribe fell from a ladder and fractured her wrist while working Monday. Uribe and others are filing a lawsuit against Pulte Homes and two of its subcontractors. Photos by Ronda Churchill. Pastor Joel Menchaca speaks to media on the steps of the Lloyd George Federal Courthouse. Attorney Kristina Hillman speaks on behalf of a group of construction workers gathered outside court on Friday.

Five local painters filed a wage and hour lawsuit Friday in federal court against two contractors and one of the Las Vegas Valley's biggest home builders.

The class action lawsuit claims that Centennial Drywall Systems and Burnham Painting and Drywall Corp. -- both contractors that Pulte Homes retains to perform work on its local new homes -- have failed to pay the plaintiffs for overtime work performed within the past four years.

Combined with its Del Webb subsidiary, Pulte ranked No. 2 in Southern Nevada closings in 2005 with 3,534 units sold.

Pulte didn't employ the claimants directly. However, the lawsuit said a code in the Nevada Revised Statute holds that original contractors who hire other contractors or subcontractors to build, alter or repair any structure are liable for the indebtedness for labor that those subcontractors and contractors incur while working on a project.

Centennial Drywall didn't return phone calls by press time seeking a statement, and Burnham officials said they had no comment.

But Sasha Jackowich, a spokeswoman for Pulte, said the builder isn't accountable for the back wages of vendors' workers.

"We have seen this happen before where organizations try to use our name to gain publicity over an issue we don't really have control over," Jackowich said. "Ultimately, this is a dispute between a subcontractor and those individuals filing the suit. Employees of subcontractors are not employees of Pulte Homes, and it is the responsibility of the subcontractor to implement employee policies and practices."

Mark Ricciardi, a Las Vegas labor attorney who's not involved in the lawsuit, said it's questionable that Pulte is on the hook for Burnham's and Centennial's back wages. He said it took a broad reading of the law to assert Pulte was responsible for its contractors' nonpayment.

"It may not necessarily be true (that Pulte must pay)," Ricciardi said. "A lot depends on the application of the statute."

Ricciardi said the law in question could soon be tested more frequently, because claims such as the one filed against Pulte are increasingly common nationwide.

He said Weinberg, Roger & Rosenfeld, the California law firm that took the case, primarily represents unions. Though it would be tough to determine union involvement in the Friday filing, he said, unions across the country have been initiating or financing similar claims to pressure home builders and others to recognize organized labor.

"This is a big deal in other parts of the country, including other Western states and some Midwestern states," Ricciardi said. "It's inevitable it would spread here."

Burnham's workers are not union members.

Asked if a union was financing the legal action, Kristina Hillman, an attorney with Weinberg, Roger & Rosenfeld, said she doesn't discuss her firm's fee practices.

The front page of Weinberg, Roger & Rosenfeld's Web site at unioncounsel.net says the firm is the "largest union-side labor law firm in the country." It notes the firm has more than 40 attorneys who are "well-regarded for their skill and dedication on behalf of the labor movement."

"You can't say, if there's a union behind it, that there aren't legal issues," Ricciardi said. "But many times, those issues can be solved between employers and employees. When unions push these kinds of suits forward, they're not doing it to solve the problems of employees. They're doing it to pressure employers."

On Sept. 1, the Arizona AFL-CIO organized a rally in front of Pulte's Scottsdale offices to announce the filing of a federal lawsuit alleging Pulte subcontractor Bean Drywall hadn't paid overtime for four years, said an article in the Sept. 2 edition of the East Valley Tribune, a suburban Phoenix newspaper.

At a Friday press conference in front of the Lloyd George Federal Courthouse in downtown Las Vegas, the painters said they hoped naming Pulte would bring attention to their cause.

"Pulte has a moral responsibility to ensure we get paid for the work we do," said Norma Uribe, a painter with Burnham, in a statement. "They can set an example for all builders."

In an interview following the press conference, Uribe, who spoke through a Spanish-English translator, said she believed Pulte should know their contractors' labor practices.

"We want Pulte to take notice that the people they contract are exploiting workers," she said. "We want (Pulte) homeowners and prospective buyers to get informed that the people who are building their houses are being exploited."

Added painter Manuel Lopez: "Pulte needs to know (Burnham) is stealing work from its employees."

The lawsuit doesn't include a dollar figure on damages or back wages owed. It claims damages are difficult to determine because the contractors didn't track hours worked, though the law requires them to keep and preserve such payroll records.

The filing said Burnham and Centennial paid their employees on a piece-rate basis, which means workers earn a set amount for every home they paint.

The workers said their piece rate varies based on experience and home size, so they couldn't pinpoint an exact pay scale.

But Lopez said he typically works 60 hours a week for $450.

Ricciardi, a partner in the Las Vegas office of Fisher & Phillips, said piece-rate compensation is "perfectly legal," but companies who pay by unit completed still have to monitor hours and figure out overtime pay for staff members who work more than 40 hours in a week.

The painters claim they worked well beyond 40 hours weekly.

Arturo Carreño Garcia said he regularly puts in 68 hours a week at Burnham.

Uribe said she worked "sunup to sundown" at Burnham for five months, until she fell off a four-foot ladder Monday and fractured her wrist.

"We want what's fair," she said. "We want to be listened to as workers, and be paid for the hours we worked as overtime."

Hillman said that though five plaintiffs filed the lawsuit, there may be as many as 250 workers eligible to join the class action.

http://www.reviewjournal.com/lvrj_home/2006/Sep-16-Sat-2006/business/9681473.html