By: Chet Richards

Matt DeSarno, CEO of Verfico Technology, is at the forefront of addressing a critical yet often overlooked issue in the U.S. construction industry: wage theft. With a rich background spanning twenty-seven years, including two decades as a distinguished member of the FBI, DeSarno brings a unique blend of integrity, innovation, and leadership to tackle this pervasive problem. Verfico, under DeSarno’s guidance, aims to transform the construction sector through a technology-driven approach, ensuring fair compensation and fostering a culture of transparency.

“In my FBI career, I faced off against gang members, drug traffickers, international terrorists, cybercriminals, and corrupt politicians. It was fulfilling work, even though I knew there would always be more criminals and my job would never be done. I enjoyed taking small steps every day to make things better,” DeSarno said.

“Wage theft is not as high profile a crime as, say, ransomware attacks—but it has a staggering impact,” he continued. “While ransomware theft is estimated to cost companies $11.5 billion globally, wage theft in the U.S. alone costs workers more than $50 billion annually in earned but unpaid wages. This puts their employers at risk for significant fines and penalties, as well as reputational damage.”

The genesis of Verfico was inspired by a personal challenge faced by DeSarno’s brother, Nick, who encountered wage compliance issues within his drywall company. This incident underscored the widespread problem of wage theft, prompting the development of a technological solution to enforce compliance and transparency among subcontractors. Launched in November 2022, Verfico Technology quickly demonstrated its value, amassing 6,000 users within its first year. The company aspires to significantly expand its user base and revenue in the months and years ahead.

Protecting Companies and Workers

Verfico’s platform is designed to offer real-time insights into wage and workforce management practices, which is particularly beneficial for the construction industry. This technology aims to ensure fair compensation and safeguard companies from the legal risks and reputational damage of wage theft.

Here are a few sad truths regarding wage theft, based on the Verfico 2023 Study: Wage Theft in America:

• Only a fraction of Americans fully understand what “wage theft” means;
• A considerable number of Americans have personally experienced or know someone who has experienced wage theft;
• Fear of reprisals and lack of knowledge prevent many from reporting wage theft, and among those who did report wage theft, many did not receive their wages back;
• The construction industry is among the top three sectors associated with wage theft, food service, and retail, weakening trust in the industry.

DeSarno emphasizes the broader applicability of Verfico’s solutions across various industries with multi-tiered labor structures, highlighting the potential to transform not just construction but sectors like security, janitorial services, engineering, and more.

Drawing on his extensive experience managing complex organizations and tackling sophisticated challenges during his tenure at the FBI, DeSarno is now channeling his efforts toward creating a just and equitable work environment in the construction industry. Verfico’s technology facilitates compliance with wage laws, offering tools and services to mitigate risks and enhance transparency. The platform focuses on compliance and aims to make a positive community impact by promoting fair labor practices and diversity within the workforce.

A More Inclusive and Transparent Construction Industry

Security and scalability are paramount to Verfico, and robust measures are in place to protect customer data, reflecting DeSarno’s commitment to maintaining the platform’s integrity. His vision extends beyond addressing wage theft to fostering a more inclusive and transparent industry, leveraging technology to solve a longstanding issue with far-reaching consequences.

DeSarno’s transition from a career in law enforcement to leading Verfico underscores his unwavering dedication to justice and fairness. His expertise and leadership have positioned Verfico as a pivotal player in shaping the future of workforce management, ensuring fair compensation and operational transparency. Through Verfico, DeSarno is tackling the immediate challenge of wage theft and paving the way for a more equitable and just industry, championing a cause that has significant implications for workers, companies, and the broader economy.

Published by: Martin De Juan