CONSTRUCTION WORKERS ON GABLES RESIDENTIAL

 June 14, 2014
FOR IMMEDIATE RELEASE
Contact:
Stephanie Gharakhanian, 203-464-7284,
[email protected]
CONSTRUCTION WORKERS ON GABLES RESIDENTIAL PROJECTS
TO HOLD PROTEST
150 supporters calling for safe, dignified conditions on Gables construction sites
[Dallas, TX] - On Saturday, June 14 at 11:10 am, one hundred fifty workers and supporters from
Workers Defense Project (WDP) will converge at Cole Park for a march and rally to call on
Gables Residential to ensure that construction workers on their projects receive a fair wage and
have safe working conditions. Gables Residential is an Atlanta-based company and a prominent
luxury apartment developer in Texas. Its biggest market is in Texas, with more than 50 of its 125
developments located in the state. The CEO is based out of Gables’ Dallas office.
WDP is a statewide, membership-based organization that empowers low-income workers to
achieve fair employment through education, direct services, organizing, and strategic
partnerships.
Workers on Gables Residential construction sites have reported unsafe conditions and cases of
wage theft totaling more than $140,000. Recently, six workers in Austin have come forward to
report that they had not been paid over $13,000 in overtime pay for their work on a Gables site.
Another worker from a Dallas Gables construction site, Roberto Gonzalez, recently fractured
both hands in a worksite accident on April 3rd, which OSHA is currently investigating.
WDP has chosen Father’s Day weekend for the march to highlight the importance of ensuring
construction jobs are safe and allow workers to provide for their families. “Behind every worker,
there are tiny little heads and tiny little bellies that depend on that paycheck. We all work in order
to live. If you can’t work anymore, then there’s no way to provide a better life for your family,”
said Roberto’s son Julio, who is also a construction worker, in discussing his father’s injury.
On Friday, June 13, workers from Gables sites will be delivering a petition to Gables executives
in Dallas asking them to partner with WDP to commit to improving working conditions on their
worksites in Texas. “WDP is asking Gables to join the organization’s Better Builder program,
which has a strong record for improving conditions on construction sites. The program calls for
workers to receive a living wage, have safe working conditions, and for companies to invest in
workforce training,” said Stephanie Gharakhanian, Research and Policy Director of WDP. In
Austin, WDP has partnered with numerous developers on large-scale construction projects
through its Better Builder program, including Apple, Foundation Communities, Pflugerville
Community Development Corporation, and Saltillo Collaborative.
Workers and supporters from WDP will also be joined by leaders in the Dallas area faith
community, who are also calling on Gables to work with WDP to improve conditions on their
worksites. “The prophet Isaiah explains that oppressing workers is binding them with a heavy,
unjust burden and calls on us to loose the bonds of injustice. We're simply asking Gables to
follow what many of our faith traditions call us to do: to loose these unjust bonds by ensuring
honest pay for honest work,” said Reverend JD Allen of the North Texas Conference of the
United Methodist Church.
The rally will take place at 11:00 am on Saturday, June 14 in Cole Park, 4000 Cole Avenue. The
event will include a march to the nearby Gables Turtle Creek Cityplace townhomes, after which
supporters will return to the park for a Father’s Day community barbeque to celebrate the
contributions of working fathers in building Texas.
WHAT: March and rally calling on Gables Residential to improve conditions on their worksites
WHEN: Saturday, June 14, 2014 at 11:00 am
WHERE: Cole Park, 4000 Cole Avenue, Dallas, TX 75204
VISUALS: One hundred and fifty workers and supporters will be present, including several
workers from Gables construction sites. The event will include street theater, banners and
signage, and a giant construction worker puppet.
SPEAKERS: Reverend J.D. Allen, Bonnie Mathias, Roberto González, Julio González, Cristina
Tzintzún, Fred Letman, and a worker from OUR Wal-Mart will be speaking (bios on the
following page).
###
Speaker Bios
Reverend J.D. Allen, Board of Church and Society, North Texas Conference, United Methodist Church
J.D. is a provisional elder in the North Texas Conference of the United Methodist Church and serves as
local church pastor. He holds a B.A. in Religion and Mass Communication/Journalism from the University of
Mary Hardin-Baylor, an M.Div. from George W. Truett Theological Seminary at Baylor University, and an
M.T.S. from Perkins School of Theology at Southern Methodist University. His work for social justice
includes membership on the board of the Dallas Area Christian Progressive Alliance, participation with
Jobs with Justice Texas, and launching a subcommittee of the North Texas Conference Board of Church
and Society focused on labor issues. His work as a pastor has included discipleship, evangelism, and
missions which he believes are incomplete when the reconciling ministry of social justice is excluded or
ignored.
Bonnie Mathias, Communication Workers of America Local 6215
Bonnie was born in Colorado Springs, Colorado. She is an active member of the Communications Workers
of America and currently holds the position of elected Vice President of Local 6215. Bonnie is active in
her community. In the past 20 years, Bonnie has worked within the community and with the City of Dallas
to help bring improvements to the Pleasant Grove Area such as opening of the Audubon Center,
economic development along Buckner Boulelvard, dand the DART Green line. Bonnie is the chair of Texas
Organizing Project (TOP) Pleasant Grove. From 2008 to the present, she has served District 4
Councilman Dwaine Caraway on the Dallas Animal Shelter Advisor Commission. In 2011, Bonnie became
the proud recipient of the “President's Volunteer Service Award” from President Obama.
Roberto González, construction worker injured on Gables McKinney
Roberto is from a small town outside of San Luis Potosí in Mexico. He came to the United States to
provide a better life for his son and three daughters. Roberto has worked construction all over Texas
since 1986, and has been in working and living in the Dallas area since December of 2013. In early April,
Roberto broke both of his hands in an accident while working on the Gables McKinney construction
project. His injury has completely changed his life: Roberto cannot work; he was unable to use either
hand for an entire month after the accident, and still has a cast on his right hand. Roberto lives with his
son, Julio, and Julio’s family in Carrollton.
Julio González, construction worker, son of Roberto González
Julio is Roberto González’ adult son, who also lives and works in construction in Dallas. Julio supports a
family of five, including three young children, with his job in construction. He has worked in construction
since age 17, and enjoys the work, but thinks safety is a serious and persistent issue in the industry. Since
his father’s injury, Julio has been taking care of him, and worries that Roberto will not be able to return to
work because of the severity of his injury.
Cristina Tzintzún, Executive Director, Workers Defense Project
Cristina Tzintzún is the Executive Director of Workers Defense Project (WDP), a statewide,
membership-based workers’ rights organization that is winning better working conditions for Texans. At
WDP, Tzintzún has spearheaded efforts to ensure safe and dignified jobs for the more than 900,000
construction workers that labor in the state. Her work has led to a federal investigation by OSHA into
Texas’ deadly construction industry, the passage a statewide wage theft law, and better, safer jobs for
thousands of low-wage workers in Austin and Travis County. She has been named “Hero of the New
South” by Southern Living Magazine and won the national Trabajadora Community Leader award from
the National Labor Council for Latin American Advancement. Her work has been covered in the New York
Times, National Public Radio, Univision, and USA Today.
Fred Letman, Gables resident
Fred Letman is a resident of Gables Mosaic, a highrise luxury condominium in downtown Dallas. He is also
a U.S. Navy veteran and Senior Underwriter at Chase Bank.
Worker Testimony
Translated from Spanish. Roberto González and his son Julio will be available for interview via their
translator, Juan Cardoza-Oquendo, 214-552-3447.
Statement of Roberto González, Dallas construction worker injured on Gables McKinney worksite
“I came to the United States from a small town outside of San Luis Potosí in Mexico to provide a better
life for my wife and four children. I have worked in cement masonry and bricklaying all around Texas,
including Killeen, Lampasas, Temple, and Belton. I have been working in Dallas only since December of
last year. My wife and daughters motivated me to try and find work in the United States. We had a
dream of a better life, but you never know what’s going to happen.
“On the morning of April 3, 2014, I was working on an underground part of [the Gables McKinney site]. I
tripped and fell forward really hard, and when I tried to stand up, I could feel that my hands were
twisted and in a lot of pain. My co-workers lifted me from the underground level with a ladder, which I
had to hold onto with my elbows because I couldn’t use my hands.
“For the first month, both of my hands were in casts, so I couldn’t do anything on my own. I couldn’t open
doors, couldn’t pick up the phone. In addition to that, I was incredibly stressed. The pain is not only
physical, but also emotionally disconcerting - it affects your mind. Not only could I not use my hands, but I
also had many sleepless nights because of the pain and stress. With this accident, what money was I
going to be able to send my family if I had no income?
“If I were working, I’d be earning money. But now because of this accident, I’m struggling financially. It’s a
huge problem, and I’m not the only person to be going through this. The same thing that happened to me
happens to other construction workers. Companies should find the way to fulfill their responsibility to
protect us on the job. It’s not fair for us workers to to experience an accident and then go through what
I’m going through.
“Working in construction, you’re exposed and vulnerable to being mistreated. What happened to me,
nobody can make go away. All this time that I’ve been suffering and struggling - it’s been engraved in
me. That’s not easy. The very difficult days that I’ve had to go through, physically and emotionally - all of
that was difficult, and it’s not over yet. All of this is a part of me now. I didn’t choose to go through this.
It’s very difficult.”
Statement of Julio González, Dallas construction worker and son of Roberto González
“I have been working in construction since I was 17. I like the work, but there needs to be more safety
control in the industry. I see workers use saws improperly or work without fall protection. New people
aren’t trained, and they don’t know how to identify safety hazards.
“When my father was injured, the first month was the most difficult. He couldn’t use his hands. It was
hard seeing him not able to stand up on his own, not be able to do something as simple as go to the
bathroom. That was the first whole month. It was horrible.
“Now, we don’t know what the impact is going to be for his future and his ability to work. With metal
screws in his hands, is he going to be able to carry out the same work he could do before? Construction
is physically demanding work.
“It’s hard because here at home, I’m the only one that works. My wife doesn’t because she has to take
care of our young children. When my dad suffered his accident, I was with him for a week, and that was
time I couldn’t work. If I don’t work, and he doesn’t either, we have no income in our household. So
we’ve been trying to get by. We all do what we can. I can’t take him to appointments all the time
because if I don’t work, there’s no way to support the family.
“We need more safety guides on construction sites. We don’t want more lives to be lost or more
workers to be injured. Companies will hire for everything else on a project except safety; it’s just not a
priority. And there should be protection for all workers who get injured. Besides the physical and mental
pain, and the financial difficulty, it’s not humane to allow someone to suffer like my father has.
“If a worker is here in this country, and they employ him, it’s because he’s needed. It doesn’t seem fair to
me that when there is hardship, he’s left without protection.
“Behind every injured person, there is a life. There are families. Behind every worker, there are tiny little
heads and tiny little bellies that depend on that paycheck. We all work in order to live. If you can’t work
anymore, then there’s no way to provide a better life for your family.
“As there is so much construction, there should be as much monitoring of safety and protection from
workplace accidents.
“We need to make these stories known. A lot of companies boast about their high quality projects, but
the most important thing should be the safety of the workers building them, and they don’t ensure it.
We’re not asking employers to give us this for free; we’re asking them to take responsibility because
the injuries happen on their projects.
“There are companies that do respond, but there are others that just leave you to your luck. I feel
fortunate to work where I do, because I’ve seen people get injured, and the company helps them. But
with other cases, like my father’s, when you get injured they just tell you, ‘Hope you’ll be okay.’”
Gables Residential Fact Sheet
Company Profile
● Gables Residential is a prominent developer that specializes in building luxury apartments
nationwide.
● Gables Residential owns and operates 125 buildings nationally. Texas is their largest market with
53 buildings concentrated in Austin, Houston, and the Dallas-Fort Worth area.[1]
● The company has three offices in Texas located in Dallas, Austin, and Houston; CEO Sue Ansel is
based in Dallas, Texas.
● Gables is a privately held REIT (Real Estate Investment Trust). They were purchased by ING
Clarion Partners in 2005 for $2.8 billion.[2] As of 2012, they were a portfolio company of Clarion
Partners in venture with Silverpeak Real Estate (formed by the former management team of
Lehman Brothers Real Estate).[3] Clarion Partners has $28.6 billion in total assets.
● Gables went private in 2005, and at the time the company was generating over $180 million in
rental revenue each year and had 18,000 apartment units. Their overall revenue was $219
million.[4]
● Gables has grown exponentially since becoming privately owned and now has approximately
38,000 apartment homes under management. They currently have an estimated rental revenue
of at least $393 million.[5]
● Each year in Austin, Dallas, and Houston, Gables builds at least one major luxury construction
project in one of the three cities, and usually thousands of workers are building these sites
through their subcontracting chain.
Cases of Workplace Abuse
Workers employed by a variety of subcontractors at all of Gables downtown Austin projects have
reported dangerous and illegal working conditions: more than $140,000 in wage theft, no rest breaks,
no overtime pay, and unsafe working conditions. The following was reported to WDP:
PARK PLAZA (115 Sandra Muraida Way, Austin, TX 78703)
15 workers were owed $76,654.13 for their work on Gables Park Plaza. In 2009, they worked 10-hour
days Monday through Saturday and some Sundays. They were working on average 70-hour weeks but
did not receive pay for all of these hours and received no overtime pay. Workers brought the wage
theft to the attention of Gables in 2009, but the case was not resolved until 2 years later. There are
other workers with outstanding claims.
PARK TOWER (111 Sandra Muraida Way, Austin, TX 78703)
A laborer working directly for Andres Construction reported he did not receive rest breaks to the City of
Austin in 2012. Again in 2013 a different worker, Jose Perez, a glazier working for Tepsco Glass,
reported not receiving rest and water breaks to the City of Austin. When the report was made public to
Univision Television, Perez’s foreman threatened his job.
PRESSLER (507 Pressler Street, Austin, TX 78703)
In 2009, four workers worked on both Gables 5th Street Commons and Gables Pressler installing
cabinets. The workers were told they would make $80.00 per day and would be paid monthly. Two
worked 111 days without being paid, one worked 155 and one worked 177 days without being paid. In
total, the four workers were owed $32,730. Gables had their own supervisors on the Pressler site.
5th STREET COMMONS (1611 West 5th Street, Austin, TX 78703)
In 2008, two workers welded balconies and did metal framework on Gables 5th Street Commons. They
performed 124 and 136 hours respectively and were owed a total of $2,848, though they were each
only paid less than $500. After almost a month of working without pay, the workers refused to work
until paid and were fired. The workers were misclassified as independent subcontractors even though
they were direct employees. Richard Ledesma, the contractor at AR Steel Fabricators, eventually agreed
to pay them the entire amount in three payments over the course of a month.
In 2009, the four workers who were also working at Gables’ Pressler were owed $16,447 for installing
cabinets in 5th Street Commons as well. This brings the total amount of wage theft from 5th Street
Commons to $19,295.
WEST AVENUE (300 West Avenue, Austin, TX 78701)
In 2013, several workers were told they would be paid $15 an hour. They worked 12-hour days for a
week but were not paid after the work was done. One worker who was owed $1,162 came forward
and was then harassed by his supervisor so much that he was forced to change his phone number.
Other Reported Violations
● Workers building Gables sites have regularly been denied their right to overtime pay.
● Gables subcontractors failed to pay wages on time.
● Payroll fraud: Gables subcontractors failed to maintain a record of hours and pay as required by
state and federal laws. Subcontractors often paid workers for fewer hours than they worked.
● On multiple properties, workers building Gables residences did not receive regular legally
mandated rest breaks.
● Workers building Gables have regularly not had access to drinking water on the worksite.
● Insufficient bathrooms for the number of workers on the site.
● Workers were charged for necessary safety equipment ($100 for a harness), a violation of
federal OSHA standards.
[1] Gables locations, http://gables.com/company/p/corporate_overview
[2] http://www.prnewswire.com/news-releases/ing-clarion-partnership-to-acquire-gables-for-cash-54550242.html
[3] http://gables.com/company/news/951-gables-residentials-sue-ansel-named-2012-woman-of-influence
[4] Gables Residential Trust Form 10-K, FY 2004 http://www.sec.gov/Archives/edgar/data/913782/000130773205000005/body.htm
[5]Their last 10-K filing from FY 2004 shows shows 18,277 apartment units and $189,062,000 in rental revenue. This calculates to an average of $10,344
in revenue per unit in 2005. Currently they have 38,000 apartment homes. At $10,344 per unit, that means approximately $393 million in annual
rental revenue. This figure is likely low since they expanded the most in their luxury apartments.
[6] OSHA Regional News Press Release: “US Department of Labor's OSHA cites 4 contractors for alleged safety and health hazards following the deaths of 3
workers at Austin, Texas, worksite” https://www.osha.gov/pls/oshaweb/owadisp.show_document?p_table=NEWS_RELEASES&p_id=16971, Austin Chronicle
“The View From 21 Rio: Workers mourn and OSHA cites contractors in fatal accident”, http://www.austinchronicle.com/news/2009-12-25/931619/
Better Builder Program Fact Sheet
Construction is big business in Texas, employing nearly one in thirteen workers in the state. Austin is one
of the fastest growing cities in the nation with 137 newcomers a day[1] and an 11.6% increase in the
population over five years.[2] Austin needs a strong, skilled workforce to keep pace with its growth.
Despite construction workers’ valuable contributions to the industry and state’s economy, they have not
prospered as business has.
WDP has been at the forefront of creating innovative strategies that partner with both the public and
private sector to raise standards for workers and level the playing field for honest businesses to
compete. The Better Builder program works with developers to ensure that workers can receive a fair
wage, have safe working conditions, and earn a rewarding career in the construction industry.
AN INDUSTRY PROBLEM
Texas is the deadliest place for construction workers in the country.
● More construction workers die in Texas than in any other state in the country. Between 2007 and
2012, 678 Texas construction workers died from workplace injuries, compared with the
second-highest number of deaths in California, 360, which had a larger construction
workforce.[3]
● Nearly one in five Dallas construction workers has suffered an injury requiring medical attention.
Only 49% are covered by workers’ compensation insurance.[4]
Construction workers earn poverty wages and rarely have access to benefits.
● 62% of Dallas construction workers have wages below federal poverty guidelines.
● Nearly one in four Dallas construction workers have suffered from wage theft.[5]
● Between 2005 and 2010, poverty wage construction jobs in Texas grew by 23%, while jobs that
paid above the poverty line grew by only 1%, according to Census Data.[6]
The majority of construction workers have never had formal training and are stuck in dead-end jobs.
● Only 23% of Austin workers reported having received formal craft training.[7]
● 50% of Austin construction workers have never received a basic OSHA safety training.[8]
WORKING WITH BUSINESS TO FIND CREATIVE SOLUTIONS
The Better Builder program guarantees:
● Safety training and workers’ compensation
● Inspections to ensure compliance with federal and local employment laws
● Fair wage floor (tied to fair market rent)
● Career paths for low-income communities, by encouraging contractors to hire disadvantaged
local residents that have participated in workforce training programs
How the Better Builder program works:
1. Developers make a firm commitment to Better Builder standards, and developers incorporate
those standards into their construction contracts.
2. Construction contractors are required to implement standards with all subcontractors by
developers.
3. Construction businesses compete on a level playing field, without lowering wages or risking
worker safety in order to win construction bids.
4. Thousands of construction workers have opportunities for decent wages, safe conditions, and a
career path.
Track Record of Success
● Apple, Foundation Communities, Pflugerville Community Development Corp, and Saltillo
Collaborative all adhere to Better Builder standards at their construction sites.
● The new Travis County and City of Austin economic development policies adopted in Fall of 2013
will require a number of Build it Better standards on all future subsidized development in Austin.
○ Visa, National Instruments, Trammell Crow and Apple Inc.’s new development in Austin
totals $900 million and requires better wages and safer conditions for all workers,
directly impacting 7,000 low-wage workers.
○ Violation of these worker protections could result in the loss of over $86 million in
subsidies or public assets.[9]
Better Builder Program Contact Information
Please contact Courtney Koger, WDP Business Liaison, with any questions or to get more information
about WDP’s Better Builder program.
Phone: 512-391-2305 ext. 8043
Email: [email protected]
[1] Austin Business Journal, http://www.bizjournals.com/austin/news/2013/09/27/austin-population-growth-not-as.html
[2] The Top 12 American Boomtowns, Bloomberg,
http://www.bloomberg.com/money-gallery/2013-04-24/the-top-12-american-boomtowns.html#slide2
[3] “Census of Fatal Occupational Injuries [2007-2012, fatal injury counts by state],” US Department of Labor, BLS, accessed January 24,
2014, http://www.bls.gov/iif/oshstate.htm.
[4] Price, Amy; et al. “Build a Better Texas: Construction Working Conditions in the Lone Star State,” The University of Texas and Workers
Defense Project, January 2013. City breakout data.
[5] Price et al. “Build a Better Texas.”
[6] 2010 United States Census, 5% sample, United States Census Bureau. Researchers requested data by job category for trades in vertical
construction.
[7] Price et al. “Build a Better Texas.”
[8] Price et al. “Build a Better Texas.”
[9] Visa: City of Austin Ordinance #20121206-144; Nat Instruments: City of Austin Ordinance #2013307-066; Trammell Crow: Austin
Ordinance #2012524-012; Apple: City of Austin Ordinance #20120322-89