State College contractor “fleeced” thousands of workers out of millions of dollars, Pa. AG alleges

This Week in Pennsylvania

HARRISBURG, Pa. (WHTM) — Thousands of workers underpaid millions of dollars, that’s the case outlined by Attorney General Josh Shapiro on Thursday. He added companies across the state have now been warned.

“They fleeced workers in order to put more money into their pockets,” Shapiro said.

The Pa. Attorney General announced theft charges against Glenn O. Hawbaker, Incorporated, a State College contractor that’s gotten billions in state money to build roads and bridges — and is required to pay prevailing wages and benefits to its employees.

“This was a sophisticated operation that spanned many years,” Shapiro said.

AG Shapiro says Hawbaker underfunded retirement and healthcare money that should have gone to thousands of employees and kept the difference.

“Stealing more than $20 million from workers in Pennsylvania,” Shapiro said.

Hawbaker is a family-owned, non-Union company that’s been in business for 70 years.

It said in a statement, “While we believe that we have always acted in accordance with all state and federal laws, in an abundance of caution, the company immediately changed its prevailing wage practices.”

Shapiro said Hawbaker is cooperating with the investigation but said all companies in Pa. should be on notice — because the Attorney General is watching.

“We will not let big corporations and powerful interests rip away the integrity of a hard days’ work,” Shapiro said.

Shapiro said the charges are the third in a series of cases, but he promised, they won’t be the last.

A full statement from Glenn O. Hawbaker, Inc. can be viewed below.

Glenn O. Hawbaker is a third-generation, family-owned company that has been in business for nearly 70 years. Upon learning of the Attorney General’s investigation in 2018, we have cooperated fully. While we believe that we have always acted in accordance with all state and federal laws, in an abundance of caution, the company immediately changed its prevailing wage practices. These changes remain in effect today as we continue to do what’s right for our employees, both past and present. Our company will continue to work constructively with the Attorney General’s office to reach a swift resolution. Since 1952, Glenn O. Hawbaker’s mission has been to build, serve and advance local communities, and that will never change.

Glenn O. Hawbaker, Inc.

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