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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.
