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In a historic resolution to a high-profile labor exploitation case, U.S. construction multinational Caddell and court-appointed administrators have signed a landmark €30 million settlement with Milan prosecutors following an investigation into illegal labor practices at the site of the new U.S. consulate in Milan.
The agreement stands as the largest compensation settlement of its kind in Italian history. Investigators revealed that the Alabama-based firm managed its construction site through a Turkish subcontractor, which brought approximately 450 migrant workers from India to Milan under abusive conditions. Workers faced severe mistreatment, threats, and fictitious wage schemes that deducted the costs of food, lodging, and illegal kickbacks paid back to site recruiters (caporali).
The €30 million fund will cover both material and moral damages for all affected workers - including those laid off prior to the public launch of the investigation in June 2026 - with individual compensation averaging €50,000 and reaching up to €90,000 for the most severe cases. Unemployed workers covered by the settlement will also receive access to state unemployment benefits.
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