The Real Deal New York

Workers claim developers with 421-A tax breaks failed to meet wage rules

Long Island City's L Haus, the Arias in Park Slope and the Georgica building on the Upper East Side are in union’s crosshairs
April 17, 2013 03:00PM

Service workers at a number of large New York City residential projects have alleged that they did not receive wages they are guaranteed under the city’s 421-A tax abatement program, the Wall Street Journal reported.

Doormen and porters at buildings such as Long Island City’s L Haus, the Arias in Park Slope and the Georgica building on the Upper East Side said they have not been paid the $22 per hour they are guaranteed by law. Union 32BJ SEIU is attempting to organize the workers (most of whom are not members of the union) and will hold a rally tonight at the Arias, according to a press release received by The Real Deal.

Workers at the Arias claim they were fired from their positions after attempting to form their own union to lobby for fair wages.

More than 90 buildings in the city participate in the 421-a tax exemption program, according to 32BJ. Around 600 workers are affected by the program, which grants buildings significant tax exemptions in exchange for affordable housing and prevailing wages and benefits for the buildings’ service workers, the union said.

Robert Kaliner, the developer of the Georgica, denied that the building had not complied with wage requirements. [WSJ]Katherine Clarke