SAN FRANCISCO, CA — The U.S. Department of Labor recently announced that it recovered substantial amounts of back wages on behalf of wage theft victims working in three garment companies across Southern California. As part of the recovery, an estimated 1,377 current and former workers will share a total of $1.6 million in back wages and liquidated damages for violations of federal wage and labor laws dating back up to three years.
According to the Labor Department, 94% of 129 Wage and Hour Division investigations of garment facilities in Southern California during 2017 revealed some type of violation of the Fair Labor Standards Act (FLSA). Those investigations determined many workers earned less than the federal minimum wage of $7.25 per hour, with some earning as little as $4.27 per hour.
Furthermore, investigators from the Wage and Hour Division determined many of the factors failed to pay workers overtime pay when the employees worked more than 40 hours in a week, as required under the FLSA. The law requires employers pay non-overtime exempt workers one and a half times the individual’s average hourly rate of pay, including bonuses and other wages.
“In addition to our outreach efforts in this industry, we continue our investigations in Southern California to ensure local garment employees receive their rightfully earned pay,” said Wage and Hour Division Regional Administrator Ruben Rosalez, in San Francisco. “Unfortunately, we continue to find wage violations at nine out of every 10 facilities we investigate. Manufacturers that fail to pay their employees minimum wage and overtime have a negative impact on the garment industry by unfairly undercutting their competition.”
Investigation findings in 2017 include:
- CAL TM, Inc. will pay $41,742 to 46 employees after an investigation found that employees were not paid overtime and in many cases earned less than the federal minimum wage. Records were falsified to make it appear that employees were paid hourly.
- ANC Fashion, Inc. will pay $64,906 to 269 employees after investigators found that employees worked over 40 hours per week without receiving overtime pay.
- HJ Fashion will pay $21,023 to 21 employees after an investigation disclosed the employer failed to pay employees the federal minimum wage and overtime. Investigators also found the employer kept no time records and paid employees in cash only.
Garment Worker Unpaid Overtime Lawsuits
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Our office will also determine if it is in your best interest to file a lawsuit against your employer. Because strict time limitations apply for filing these types of claims, we advise you contact our experienced unpaid overtime wage attorneys at your earliest convenience and preserve your legal rights.