Alabama company allegedly paid Kenyan workers $2 an hour to build US consulate, threatened to deport them

A Montgomery-based construction giant is under investigation by Italian prosecutors following allegations that foreign workers were subjected to exploitative labor practices while building a new U.S. Consulate in Milan. According to interviews with former employees and a review of employment documents, workers were reportedly paid less than $2 an hour and faced threats of deportation when questioning their working conditions.

Investigation into Caddell Construction

Caddell Construction, a prominent firm specializing in U.S. diplomatic missions, is the focus of an investigation led by prosecutor Paolo Storari. Storari, who has previously investigated sweatshop abuses in the luxury fashion sector, has already overseen the arrest of two Caddell managers in Italy. One manager was apprehended while attempting to board a flight, while another was reportedly planning to flee the country.

Allegations of Exploitation

The project, a $350 million initiative in Milan, involved approximately 70 workers, many recruited from India and Kenya. Prosecutors allege that the company forced these employees into 10-hour workdays, six days a week, while improperly deducting room and board from their pay. Some workers reported earning as little as 500 euros—less than $580—per month after these deductions.

One Kenyan electrician recalled the atmosphere on-site: “When you go to the office to ask any question, you are being told, ‘Either you work or you will be returned to your country.’” Another worker, an electrician who had been promised a salary of over 25,000 euros, was told that figure was merely “for visa purposes” and not a reflection of his actual pay.

Official Responses

Both Caddell and the U.S. State Department have stated they are cooperating with the ongoing investigation. The State Department emphasized that the U.S. government does not tolerate labor exploitation. Caddell, which boasts a portfolio of high-security construction projects globally, claims it is conducting its own internal inquiry to ensure all subcontractors adhere to strict labor standards.

This is not the first time Caddell has faced scrutiny; more than a decade ago, the company settled federal allegations regarding false claims made to gain government incentives. As the Milan project moves forward under court supervision, labor unions are stepping in to provide legal aid and support for the workers, many of whom were fired without cause earlier this year.