Craigslist auto part company Schram Auto Parts is failing to pay workers on time and its stock price has dropped by more than half, according to an Investor’s Business Daily report.
“It’s a company that has never had any integrity,” said one of the workers, who asked not to be identified.
“They’re the ones who work here and they’re not paying their bills.”
Another worker said, “There are a lot of people that have been working here for years and years.
The only thing that they’re doing is paying their rent and bills.”
“They don’t have a clue how to run a business,” another worker added.
The report cites a lawsuit filed by the National Right to Work Legal Defense Foundation (NRWLDF), a labor union representing employees of Craigslist auto components.
“We are very concerned that Craigslist has not yet paid the workers who work there,” the NRWLF stated.
The NRWU stated that the company has been in trouble with the Department of Labor for years, including being fined $10 million in 2012 and again $5.5 million in 2015.
Craigslist, which has more than 10,000 locations, was founded in 2008 by two brothers who wanted to build a new auto parts business, according the NRWC report.
In 2016, the brothers filed for Chapter 11 bankruptcy protection.
The company was sold to the Carlyle Group in 2018 for $4.5 billion.