(Photo by Kevin Mathewson, Kenosha County Eye)
KENOSHA, Wis. – The $450 million Harbor District redevelopment project in downtown Kenosha is facing union criticism over labor practices tied to its first major development, The Karrick apartments.
The North Central States Regional Council of Carpenters (NCSRCC) has staged protests at the site, accusing subcontractor Suburban Drywall of engaging in wage theft, misclassifying workers as independent contractors, and paying employees off the books to avoid payroll taxes, unemployment insurance, and workers’ compensation.
(Photo by Kevin Mathewson, Kenosha County Eye)
According to the union, such practices hurt workers by denying them overtime pay, benefits, and legal protections, while also undercutting law-abiding contractors. NCSRCC says the cost is ultimately shifted to the public, estimating that Wisconsin taxpayers lose $165 million annually due to construction industry tax fraud.
The five-story Karrick complex, developed by Milwaukee-based Cobalt Partners and built by general contractor C.D. Smith Construction, broke ground in October 2024 on the corner of 55th Street and Seventh Avenue. City leaders, including Mayor David Bogdala, have championed the project as a key piece of the Harbor District plan, which is expected to bring more than 1,000 housing units and new commercial space to the lakefront.
In documents distributed at the protest, the union accused Cobalt Development of “prioritizing profit over the well-being of its workers and the community” by allowing subcontractors with alleged histories of exploitation to work on the project. The union’s materials also reference past cases in Wisconsin involving unpaid wages, threats against workers, and federal tax evasion convictions connected to drywall contracting.
Neither Mayor Bogdala nor Cobalt Partners responded to requests for comment on the allegations or whether steps are being taken to ensure all contractors comply with labor and tax laws.
The Karrick apartments are expected to include 158 luxury units, an amenity deck, and retail space. The project is the first phase of the multi-block Harbor District redevelopment, billed by city officials as a transformative investment in downtown Kenosha’s future.
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27 Responses
Bogdala obviously isn’t a transparent Mayor is he? Seems to never have a comment. Possibly Morrissey is out of town and didn’t give Bogdala permission to answer question’s. Has me wondering why? Is he complacent with these shady practices? If he was any leader at all he’d address this issue by possibly kicking Cobalt Development to the curb. Possibly DA Solis can have them all brought up on charges of not complying with state tax, labor laws.
I sure hope they aren’t adding retail to the bottom of that apartment complex we have enough empty buildings in the city
The da should investigate
Typical unions trying to get paid ridiculous sums of money making it impossible for anyone to afford these projects
You nailed it. We need to repeal the 13th Amendment. That way big companies like this could simply own slaves and reduce their expenses.
lol, nice try. Unions aren’t worth the crazy dues they charge the member.
What dues?
Who cares? Let the builder do what works for them. If people don’t want to work for them, they don’t have to.
This is about following through on what was agreed and what is legal. Guess you don’t understand that.
LOL!! The fact that you think that’s “what’s legal” is hilarious
scab labor in what used to be a strong union city. man have times changed
Yea, you guys kinda priced everyone out 😬
They want the building to be built to the same standard as Gremlins.
Alcoholics Making Cars
I don’t blame illegals for taking cash jobs. They bring home cash while taxpayers subsadize their food and shelter for their wives and kids.
Everytime they take a cash jobs they take work from Americans.
Libs always go on about jobs Americans won’t do. They will do those jobs when the the illegals are gone and employers have to pay a prevailing wages.
Poor Dem voters think hand outs are great while Biden imports millions to take their jobs. You can’t fix stupid (and lazy).
Every time they take cash jobs, they are working jobs that your lazy ass wouldn’t consider doing. Reality hurts.
I mow my own lawn
I cut my own bushes
I roof my roof
I lay my floors
I replace drywall in my house
My family clean my 5k square foot house
I don’t need an illegal to do anything for me and never have
F off pussy
do you pick crops? are you going to send your family to do the shit jobs that are going to need to be done? I think that’s the point they are trying to make.
*I do not endorse this message
NO Americans won’t do the Immigrants JOBSSSSS….
No, I will pay an extra $1 for blueberries picked by Americans.
No problemo as they say South of the border
you won’t find American berry pickers, so you won’t be eating those blueberries. It’s already impossible to hire reliable workers in min wage jobs.
Yes, we pick our own crops. That argument is so stupid, but I love how it make libs look like total racist, entitled and lazy-ass f*cks 🤣🤣🤣
You all realize the “protesters” are paid protesters right?? Guaranteed they have no callouses on their hands. If your down there, ask one of those “hard workers”
To show you their hands. This is the same union group who votes democrat to
Let the people cross in illegally too, so it’s an odd argument to me.
Yes, you are confused. You made that up out of thin air.
I’m against picketing, but I don’t know how to show it.
Don’t hire Union members. (You’ll get better craftsmanship)
This is outrageous. Kenosha used to be a great union town.
Unions are a has been no matter what town you live in.They are just not like they used to be. They used to fight for the worker and their wages.Now they are just crooked cartels.