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Plastics manufacturer fined $200K for failing to pay workers


January 2, 2020
By Manufacturing AUTOMATION

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Core Precision Technologies Ltd., operator of a plastic manufacturing plant in Toronto, Ontario, and two of its directors have been fined $200,000 in Ontario provincial court after pleading guilty to charges that they failed to pay 58 of their former workers for unpaid wages and vacation pay.

In May 2009, an employment standards officer issued orders to the company to pay about $490,000. In July 2009, orders to pay were issued to the company’s directors, Domenic Colitto and Edoardo Del Rizzo, for about $425,000.

The orders to pay were not appealed and were not paid. The individual amounts owed to the 58 employees ranged from between $2,400 to $32,000.

The company and its directors were fined a total of $200,000 in provincial offences court on December 18, 2019. The company was fined $100,000 and the two directors were each fined $50,000 for failing to comply with the orders to pay.

In addition to the fines, the company and directors are required to pay the balance owed on the orders to pay. Prior to sentencing the company and directors paid about $190,000 towards the orders to pay. The company still owes about $255,000 to employees. About $3,600 was collected in separate garnishments in November 2009 and February 2010.

The court also imposed a 25-per-cent victim fine surcharge as required by the Provincial Offences Act. The surcharge is credited to a special provincial government fund to assist victims of crime.

Failing to comply with an order to pay is a contravention of the Employment Standards Act.