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SCA General Contracting Ordered to Pay $468,505 in Back Wages to 137 Workers for FLSA Violations

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Summary

The U.S. Department of Labor obtained a consent judgment requiring SCA General Contracting Inc. to pay $468,505 in back wages and damages to 137 construction workers. The U.S. District Court for the Central District of California approved the judgment on Dec. 17, 2025, following a Wage and Hour Division investigation that found willful violations of the Fair Labor Standards Act including failure to pay minimum wage and overtime.

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What changed

The U.S. Department of Labor obtained a consent judgment against SCA General Contracting Inc. and its operators requiring payment of $468,505 in back wages and damages to 137 construction workers. The court found that from Nov. 1, 2024 through Nov. 30, 2025, the employers violated the Fair Labor Standards Act by repeatedly missing payroll, failing to pay minimum wage, not paying overtime for hours over 40 per workweek, and retaliating against employees who complained about missing pay.\n\nEmployers in the construction industry and other sectors should ensure robust compliance with federal wage and hour laws. The Wage and Hour Division emphasized that employers who violate FLSA requirements or retaliate against workers exercising their rights will face enforcement action. The department also ordered SCA to reinstate an employee who was terminated for complaining about pay, signaling continued enforcement of anti-retaliation provisions.

What to do next

  1. Pay $468,505 in back wages and damages to 137 workers
  2. Reinstate terminated employee who complained about pay
  3. Comply with FLSA minimum wage and overtime requirements

Archived snapshot

Apr 16, 2026

GovPing captured this document from the original source. If the source has since changed or been removed, this is the text as it existed at that time.

News Release

California construction contractor ordered to pay back wages, damages to 137 workers denied overtime, minimum wages

SCA General Contracting Inc. assessed civil penalty for willful violations NEWPORT BEACH, CA – The U.S. Department of Labor has obtained a consent judgment to recover $468,505 in back wages and damages for 137 construction workers denied minimum wage and overtime pay by a Newport Beach construction company, in violation of federal law.

On Dec. 17, 2025, the U.S. District Court for the Central District of California approved the judgment against SCA General Contracting and operators Sundeep Pandhoh and Gary Tetone. The court action follows an investigation by the department’s Wage and Hour Division that found the employers’ pay practices violated the Fair Labor Standards Act.

From Nov. 1, 2024, through Nov. 30, 2025, the division determined that the employers repeatedly missed payroll, failed to pay workers minimum wage, did not pay overtime for hours worked over 40 in a workweek, and retaliated against employees who complained about their missing pay.

“Employers will be held accountable by the Wage and Hour Division if they commit wage violations or retaliate against workers who exercise their rights,” said Acting Western Regional Administrator Cesar Avila. “We encourage workers who experience retaliation to contact us for help. We are also available to provide assistance to employers who have questions about minimum wage and overtime compliance.”

The department obtained a court order requiring SCA to pay the workers for the missed payroll and to reinstate an employee who was terminated for complaining about pay.

“Employees count on being paid accurately and timely, and the law protects them when they complain to their employer when they're not. As we did against SCA General Contracting and Sundeep Pandhoh, the Solicitor's Office will take swift legal action against any employer that fails to pay employees their timely paychecks or retaliates against them for asking to be paid,” said Regional Solicitor Marc Pilotin in San Francisco.

The FLSA requires that most employees be paid at least the federal minimum wage for all hours worked and overtime pay at not less than time and one-half their regular rate of pay for all hours worked over 40 in a workweek.

Workers and employers can call the Wage and Hour Division with questions and requests for compliance assistance at its toll-free helpline, 866-4US-WAGE (487-9243). Employers are encouraged to use the agency’s industry-specific compliance assistance toolkits to learn about their responsibilities under the laws enforced by the division. The agency’s PAID program offers employers an opportunity to self-report and resolve potential minimum wage and overtime violations under the FLSA, as well as certain potential violations under the Family and Medical Leave Act.

Learn more about the Wage and Hour Division, including a search tool to use if you think you may be owed back wages collected by the division. Download the agency’s free timesheet app for Android and iOS devices to ensure hours and pay are accurate.

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Agency Wage and Hour Division Date April 15, 2026 Release Number 26-159-SAN Media Contact: OPA West Media Email opa-west-media@dol.gov Media Contact: Ryan Honick Phone Number 202-693-4247 Email honick.ryan.l@dol.gov Share This
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Last updated

Classification

Agency
DOL
Published
April 15th, 2026
Instrument
Notice
Legal weight
Non-binding
Stage
Final
Change scope
Substantive
Document ID
Case No. 25-cv-XXXXX, U.S. District Court, Central District of California

Who this affects

Applies to
Employers Construction firms Workers
Industry sector
2361 Construction
Activity scope
Wage and hour compliance Minimum wage Overtime pay
Geographic scope
California US-CA

Taxonomy

Primary area
Employment & Labor
Operational domain
Legal
Topics
Civil Rights Occupational Safety

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