Cape Cod Margaritaville Contractor Owes $300K in Workers’ Pay Plus $70K Penalty

A Virginia-based construction company converting a Cape Cod hotel into a Margaritaville Resort has reached a settlement with the state of Massachusetts over wage violations affecting 78 workers.

Massachusetts Attorney General Andrea Joy Campbell announced a settlement with Remby Contractors, LLC, and its owner, Remberto Rodriguez, for violating the rights of employees working on a renovation project at the Cape Codder Hotel in Hyannis. The renovation project is part of the hotel’s rebranding to Margaritaville Resort Cape Cod, a new location of the nationally recognized hotel chain Margaritaville Hotels and Resorts.

The settlement agreement requires the employer to pay $368,997.55, including $298,997.55 in restitution to impacted workers and $70,000 in penalties.

The settlement resolves the claims by the attorney general’s investigators that between September 2023 and April 2024, Remby Contractors violated a range of Massachusetts’ wage and hour laws. The alleged violations, impacting 78 workers, include nonpayment of minimum wage and overtime, failure to provide pay stubs, misclassification of employees as independent contractors, and failure to track accrual and usage of earned sick time.

As part of the agreement, the company has agreed to comply with all Massachusetts wage and hour laws, along with other state employment laws.

The settlement follows an investigation by the attorney general’s Fair Labor Division’s construction field team, a multilingual team of investigators that conducts unannounced visits to construction sites in Massachusetts each week to ensure compliance with the state’s wage and hour laws.