Central Wisconsin company sued for $683K in unpaid wages, benefits

Listen to this article

State officials are suing a central Wisconsin company that abruptly closed in 2019 for unpaid wages and benefits totaling nearly $683,000.

On Feb. 1, the state filed a complaint against Semling-Menke Company, also known as SEMCO, alleging that the company failed to provide a required notice to employees before ceasing its business operations. The Department of Workforce Development concluded that 140 employees were due wages totaling $682,864.90. The legal action seeks to recover wages by enforcing a lien against all property owned by the company.

SEMCO, a Merrill company that manufactured windows and doors, had been struggling financially for a decade, according to the complaint. On Dec. 30, 2019, the company first gave notice to its employees that it was ceasing operations and terminating all employees on Dec. 31, 2019 ⁠— giving employees just one day’s notice, state officials said.

Following an investigation, the DWD made an initial finding that SEMCO violated Wis. Stat. § 109.07(1m)(a) by failing to provide notice 60 days in advance of business closing. The department said SEMCO owes employees the wages and benefits that they would have accrued during the time from when notice was required until the date of closure.

The DWD is asking the Lincoln County Circuit Court to make SEMCO pay the $682,864.90 for wages and benefits owed, as well as increased wages of 100% of the original sum in civil penalties under Wis. Stat. § 109.11(2)(b) for a total money judgment of $1,257,729.80. The complaint includes a request for a lien on all of SEMCO’s personal property and real property in Wisconsin and an order for proceeds from any of the property to be applied to the wages and benefits owed. Follow @WLJReporter