US firm to pay 31 million euros for Indian slave labor

American construction company Caddell Construction has agreed to pay nearly 31 million euros in compensation to employees who were exploited. This is reported by the newspaper Avvenire. The funds will be used to settle a case of illegal hiring and harsh working conditions during the construction of a new US consulate in Milan.

The agreement was signed between the Milan prosecutor’s office, representatives of the company and the administrator appointed by the court. The investigation began after publications in the press about violations of workers’ rights.

According to the investigation, employees from India worked 12 hours a day. Their hourly pay ranged from 1.50 to 1.91 euros. Workers were forced to enter facilities even after illness, injury or treatment.

Salaries were fictitious. From the accrued amounts were deducted the cost of food and accommodation, as well as payments to intermediaries.

The total amount of payments increased from the initial 21 million euros. Now 19.73 million euros will go directly to workers. These funds will cover compensation for overtime, housing costs and moral damage. Another 11.5 million euros will be transferred to the Italian National Institute of Social Security (Inps) in the form of fines and benefits.

On average, each victim will receive about 50 thousand euros. The maximum individual payment can reach 90 thousand euros.

About 450 people participate in the compensation program. They include those who were fired before an active investigation began in June. They will be given unemployment benefits. An additional 250 people received residence permits in Italy.

The criminal case continues separately from the civil settlement. The criminal investigation involves two managers – citizens of Turkey and India.