We hear it all the time: Contractors who don't play by the rules make it harder for those to do the right thing. In this example, it's an especially egregious case of willfully skirting the law to avoid paying worker's comp premiums, reports Sandy Smith in the EHS (Environment, Health, Safety) Today.
According to the EHS article, an investigation by the Washington State Department of Labor & Industries (L&I) determined that E&E Acoustics, LLC, a Walla Walla-based drywall company, significantly under-reported the hours that employees worked from April 2007 through June 2009 to avoid paying workers’ comp premiums. The owner, Shawn A. Campbell reportedly did this by listing employees as co-owners in the company.
In 2011, Campbell failed to list any company officers, prompting the secretary of state to “administratively dissolve” the business, opening the way for L&I to hold Campbell and his wife personally liable. According to the article, the Campbell's owe L&I more than $615,000 in premiums, $102,000 in late penalties and $296,000 in interest as of mid-March. Read more.