Milan workers begin record payouts over alleged abuses

Nearly 480 mostly migrant workers at Milan's new U.S. consulate site are expected to share a 31-million-euro Caddell Construction settlement averaging about 45,000 euros each. Signings began at a Milan hotel; 115 signed over two days, with pay due in 30 days and full payouts by February. Prosecutors call it Europe's largest labor-exploitation settlement. Some 11.2 million euros goes to Italian social security and injury insurance; workers also get permits to work off-site. Prosecutors allege pay under $2 an hour, illegal housing deductions, denied overtime for up to 10-hour days six days a week, threats and inadequate medical care. Workers were mostly from India, also Nigeria, Kenya and Bangladesh; Indians reported 5,000-euro recruiter fees. Francesco Brigatti said damages are 60-70% of the overtime total. Dilip Ram said after signing things are better and the settlement will be good because workers had troubles. Workers signed non-disparagement and non-disclosure clauses; Caddell says the settlement is not an admission of liability and continues to cooperate. The State Department said it has zero tolerance for illegal activity. Two managers remain under house arrest and the Caddell investigation stays open. Trifone Radogna said workers' dignity was lost on a scale never before encountered.