US Contractor Accused of Exploiting Foreign Workers at Milan Consulate; Hourly Wage Below €2

Caddell Construction, the US contractor building the new American consulate in Milan, Italy, is under investigation for allegedly exploiting foreign workers. Promised an annual salary of €25,000, workers were reportedly paid less than €2 per hour. Italian prosecutors have arrested two managers.
調査NQ 0/100出典:PR Times

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  • 📰 Published: June 11, 2026 at 15:55
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(Central News Agency, Milan, 11th Combined Foreign Reports) A labor exploitation scandal has erupted at the construction site of the new US consulate in Milan, Italy. The American contractor promised foreign workers an annual salary of €25,000, but workers were actually paid less than €2 per hour (approximately NT$57). Italian prosecutors have launched an investigation. According to the Associated Press, Italian prosecutors are investigating Caddell Construction, based in Montgomery, Alabama, USA. The company is a contractor for US diplomatic missions. Prosecutors said two managers of Caddell Construction stationed in Italy were arrested this month on suspicion of labor exploitation. One was stopped while attempting to board a flight, and the other was arrested while planning to flee. The case is being handled by prosecutor Paolo Storari, who has previously led investigations into underground sweatshops supplying luxury brands. So far, only Caddell Construction is under investigation, and no other subcontractors are involved. The investigation began about six months ago and involves approximately 70 workers, most of whom are from India. Prosecutors allege that Caddell Construction illegally deducted food and accommodation costs from wages and forced workers to work 10 hours a day, six days a week. According to the prosecutor, after deductions for food and lodging, some workers took home only €500 per month (about NT$16,000). Caddell Construction and the US State Department have stated they are investigating the allegations and will fully cooperate with Italian authorities. The Associated Press interviewed four Kenyan and one Indian worker at a union center, where union staff are helping arrange legal aid and accommodation. The five workers, who provided relevant documents, requested anonymity to avoid retaliation and to protect the ongoing judicial investigation. Two workers showed employment contracts on Caddell letterhead signed by company representatives. The contracts promised an annual salary of over €25,000 (about NT$916,000), but the actual pay was far less. When they questioned management, they were threatened by on-site HR personnel. A Kenyan electrician said, "If you go to the office to ask any questions, they tell you, 'Either keep working, or we'll send you back home. This is the salary you deserve.'" Another Kenyan electrician said that when he presented a summary of Italian labor laws compiled using AI to argue his case, he was threatened with a lawsuit for "defamation" and was told the €25,000 in the contract was just for "getting a visa," not an actual promise of payment. The five workers interviewed by the AP, ranging in age from their 20s to early 50s, said they were all fired without cause this year. One said he returned from visiting family in Kenya to find he had lost his job and his home. Four of the five workers were trained electricians. An Indian worker said he was promised a monthly salary of €2,500 (about NT$94,000), but his pay slip showed his actual monthly income was only €500, an hourly wage of just €1.55 (about NT$57). The construction project is continuing under court supervision, but workers' wages are no longer being deducted for food and lodging, working hours are capped at 45 per week, and two days off per week are guaranteed. Laura Malguzzi, a labor representative from the Italian construction union Fillea Cgil, said the union plans to seek damages for the workers to recover the pay they earned through "hard work and dedication." (Edited by Zhang Mingxuan) 1150611

FAQ

Which company is at the center of this incident?

Caddell Construction, headquartered in Alabama, USA.

What kind of exploitation did the workers suffer?

Workers were promised an annual salary of €25,000 but were paid less than €2 per hour, with illegal deductions for food and lodging.

What is the current status of the investigation?

Italian prosecutors are investigating, and two managers of Caddell Construction have been arrested.