Kenyan Workers Allege Exploitation on $210 Million US Consulate Project in Italy

Kenyan workers are among those alleging serious labour abuses linked to the construction of a new United States Consulate in Milan, as Italian prosecutors investigate claims of wage theft and exploitation on the project.

The project involves the construction of a secure diplomatic compound in northern Italy under a $210 million contract awarded in 2022 by the U.S. State Department to Caddell Construction, a company based in Alabama. Concerns about labour practices emerged in 2024, prompting an investigation by Carabinieri police and prosecutors in Milan into allegations of abusive subcontracting and underpayment of migrant workers.

The inquiry intensified in May 2026 when prosecutors formally placed Caddell’s Italian subsidiary under investigation. Authorities said they had found evidence of widespread exploitation involving workers from Kenya, India and Egypt.

In June 2026, a Milan court upheld emergency measures placing the company’s local branch under judicial supervision. An administrator was appointed to oversee compliance with Italian labour laws. 

The court said the alleged abuses appeared to be systemic rather than isolated incidents. Authorities also arrested the company’s Italian operations manager, who was detained at an airport while attempting to leave the country, along with a site supervisor accused of overseeing the practices under investigation.

Kenyan workers were central to the investigation. Several electricians provided contracts, payslips and testimony to investigators, describing significant differences between the wages they had been promised and the amounts they received. Many said they had been recruited after working on US diplomatic projects in Nairobi and were offered annual salaries of more than €25,000.

According to their accounts, deductions for food, transport and shared accommodation substantially reduced their earnings, leaving some with less than €2 per hour. Workers also reported working 12-hour shifts, six days a week, and said they faced threats of dismissal or deportation if they raised concerns.

For the Kenyan workers involved, the investigation centres on claims that they were misled about their employment conditions and denied wages they were entitled to receive. Their testimony has played an important role in the judicial proceedings now underway.

Caddell Construction and the US State Department have said they are cooperating with Italian authorities and maintain a policy of zero tolerance towards labour abuses. The investigation has also raised questions about oversight on projects connected to diplomatic facilities, where complex contracting arrangements can make labour conditions more difficult to monitor.