Comptroller sues firm that manages service personnel for violating wage and tax laws
WILLIAMSBURG — A COMPANY THAT MANAGES PERSONNEL for an 80-unit building in Williamsburg faces a lawsuit from City Comptroller Brad Lander over violating wage laws, his office announced on Wednesday, June 26. The Comptroller’s Bureau of Labor Law filed lawsuits against Planned Lifestyle Services and Planned Building Services — divisions of Planned Companies — for failure to pay prevailing wage and supplemental benefits to service employees at two buildings receiving tax benefits under Real Property Tax Law § 421-a. The proceedings, filed at the New York City Office of Administrative Trials and Hearings, allege that the companies owe $145,331.81 in back wages, interest, and civil penalties. Sam Spilkes LLC (Sam Spilkes), owner of a residential building at 282 South 5th Street in Williamsburg, with more than 80 units, and another LLC that manages a West Side building, both hired Planned Companies to provide services such as cleaners, doorpersons, and security guards at their respective buildings. The investigation at Sam Spilkes’ building found that Planned Companies failed to pay prevailing wage and supplemental benefits to employees between Dec. 2018 and June 2020. The back wages and penalties sought for work performed at the Williamsburg building total $72,697.83.
An earlier investigation from Jan. 2020 into Planned Companies and Sam Spilkes revealed that Planned Companies did not pay prevailing wages as required by law at the same Williamsburg building owned by Sam Spilkes, who was jointly and severally liable for any wage underpayment. As a result, Sam Spilkes agreed to pay over $450,000 in lost wages to the building service employees at that time.
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