Scaffolding firm hits back at €9.2 million lawsuit claims

ADVERTISEMENT

The CEO of Global Scaffolders UAB has defended the company’s labour practices after Sweden’s construction union Byggnads filed a €9.2 million lawsuit alleging wage underpayments and unpaid taxes.

Global Scaffolders UAB has rejected allegations made by Sweden’s construction union Byggnads, which has launched legal action seeking €9.2 million in damages for alleged wage and tax violations.

Byggnads claims the Lithuania-based scaffolding company failed to pay correct wages, overtime, and social contributions to employees working on Swedish construction projects.

The union says its investigation uncovered that workers were paid for only 40 hours, while they were working long hours, nine hours a day, six days a week.

The case, one of the largest of its kind in Sweden’s construction sector, was first reported by Industry Radar and Byggnadsarbetaren, the official magazine of the Swedish Building Workers’ Union.

CEO responds

In a statement posted on LinkedIn last week, Aurimas Jocaitis, CEO of Global Scaffolders UAB, said the company had become the focus of public attention due to “different interpretations of the actual circumstances.”

“The same facts are viewed differently by our employees, managers, supervisory authorities and external partners,” he said.

Jocaitis added that the publicity surrounding the dispute had already had serious consequences for the company.

“We have lost customers, projects, and 80 jobs as a result, despite it being an ongoing conflict with no outcome to date,” he said.

“This is particularly regrettable because our experience, track record, consistent positive outcomes from internal and external audits, local and international certifications, effective cooperation with all Swedish authorities, and contributions to projects across the country demonstrate that we are a valued and reliable partner in the Swedish construction sector.”

He said Global Scaffolders “invests in employees, pays taxes on time and listens,” adding that the company has recently introduced small improvements based on staff feedback — such as providing breakfast during ferry journeys for travelling workers.

“It is important to us how our colleagues feel not only during everyday work but also while travelling, away from their families,” he said.

“A responsible employer”

Jocaitis said the company would take action if any legitimate shortcomings were identified.

“If, over time, it becomes clear that in certain isolated incidents we objectively fail to meet expectations, we will correct this immediately,” he said. “We are a responsible employer, and we are here to create value for all stakeholders on both sides of the Baltic Sea.”

Byggnads’ criticism

Byggnads maintains that Global Scaffolders has deliberately violated Swedish collective agreements and profited as a result.

“This is a textbook example of a company that should be removed from our workplaces,” said Emil Persson, the union’s collective bargaining secretary.

“They have deceived their employees and undercut legitimate companies that follow laws and regulations.”

In response, Jocaitis said the company agrees that fair competition is essential.

“Without question, all market participants must compete on equal terms, and we have always been open to discussing this,” he said.

ADVERTISEMENT

Popular Categories

Latest posts

Australian scaffolding group enters administration with over 650 jobs at risk

A group of companies linked to one of Australia’s largest scaffolding and formwork providers has entered voluntary administration, placing more than 650 jobs at...

Brogan Group expands scaffolding operations across Midlands and North

Brogan Group has expanded its scaffolding operations across the Midlands and North of England, extending its regional coverage to support projects in cities including...

Layher UK draws strong turnout at latest ‘Sizzle & Learn’ event

Layher UK has reported a strong turnout at its latest ‘Sizzle & Learn’ open morning, with attendees engaging closely with both product demonstrations and...

Fraud gang jailed for helping candidates cheat CITB safety tests

Three men have been sentenced for their role in a construction test fraud scheme that allowed more than 70 candidates to cheat health and...

Scaffolding sector joins April Fools’ Day with wave of industry jokes

Scaffolding companies and industry figures have taken to social media to mark April Fools’ Day, with a wide range of posts blending humour with...

Founders step away as City Access Scaffolding completes buyout

From Left to Right: Ryan Scott, Mark Skinner, and Ross Archibald

JMAC completes first acquisition with Tees Site Support deal

JMAC Industrial and Access Group Ltd has acquired a majority shareholding in Tees Site Support Ltd, marking the company’s first acquisition as it looks...

Final 20 teams confirmed for ScaffChamp 2026

The final 20 teams competing at ScaffChamp powered by Layher 2026 have been confirmed, with the last place secured after a qualification event in...

£27bn road strategy opens major pipeline for specialist contractors

The government has confirmed Roads Investment Strategy 3 (RIS3), a £27 billion programme covering England's motorway and A-road network through to 2031. A record £8.4...

NASC expands regional leadership as membership rises 40%

The National Access and Scaffolding Confederation (NASC) has announced a series of new regional chair and vice chair appointments as part of a wider...

Latest news

Magazine

Spring Issue #29 | Past issues >>

Trending now ⚡︎

Brogan Group expands scaffolding operations across Midlands and North

Brogan Group has expanded its scaffolding operations across the...

Scaffolding sector joins April Fools’ Day with wave of industry jokes

Scaffolding companies and industry figures have taken to social...

Layher UK draws strong turnout at latest ‘Sizzle & Learn’ event

Layher UK has reported a strong turnout at its...

Fraud gang jailed for helping candidates cheat CITB safety tests

Three men have been sentenced for their role in...

£27bn road strategy opens major pipeline for specialist contractors

The government has confirmed Roads Investment Strategy 3 (RIS3),...

Related articles

Latest topics

NASC chief to take on charity ride in tribute to former president

Clive Dickin, Group CEO of NASC and CISRS, is...

Australian scaffolding group enters administration with over 650 jobs at risk

A group of companies linked to one of Australia’s...

Brogan Group expands scaffolding operations across Midlands and North

Brogan Group has expanded its scaffolding operations across the...

Layher UK draws strong turnout at latest ‘Sizzle & Learn’ event

Layher UK has reported a strong turnout at its...
ADVERTISEMENTS