Small and midsize business owners need to be aware of the serious consequences of violating child labor laws. A recent investigation by the U.S. Department of Labor’s Wage and Hour Division has revealed troubling child labor violations at a food manufacturer in Tennessee.
The investigation, initiated on March 28, 2023, at the company’s facility in Minnesota, found that two 16- and 17-year-old children were employed to operate meat-processing equipment, in direct violation of federal child labor hazardous orders.
Food Manufacturer Produces Goods With Illegal Child Labor
Upon discovering the illegal employment of minors, the Department of Labor took swift action to prevent the shipment of goods produced with illegal child labor. The agency issued an “Objection to Shipment letter” to the food manufacturer, invoking the “hot goods” provision of the Fair Labor Standards Act. This provision prohibits employers from shipping goods that have been produced using illegal child labor. As discussions about compliance with child labor laws ensued, the company agreed to withhold shipment of the goods as per the department’s request.
The investigation of the food manufacturer is part of the Department of Labor’s increased effort to combat child labor violations, which have seen a concerning 69% increase since 2018. The department is committed to eliminating child labor abuses and ensuring that all workers, regardless of age, are protected under the Fair Labor Standards Act.
To rectify the child labor violations, the food manufacturer entered a consent order and judgment with the U.S. District Court of Minnesota. As part of the agreement, the company will implement company-wide compliance with child labor laws at all its production facilities and warehouses nationwide. Additionally, the food manufacturer agreed to hire an outside compliance specialist within 90 days to monitor compliance with child labor provisions at their facilities.
The company will also pay $30,276 in civil money penalties for the child labor violations that occurred. To prevent future violations, the food manufacturer will adhere to several conditions, including using the division’s Youth Employment Compliance Assistance Toolkit for employee training, auditing machinery to ensure underage workers cannot operate hazardous equipment, and establishing a toll-free number for employees to report compliance issues anonymously.
Small and midsize business owners should take this case as a cautionary example. Employing minors illegally can lead to severe penalties, damage to the company’s reputation, and legal repercussions. It is crucial for businesses to prioritize compliance with child labor laws, provide proper training to management and front-line supervisors, and take proactive measures to prevent child labor violations within their organizations.
Conclusion
By staying informed about employment laws and promoting a culture of compliance, small and midsize business owners can protect their employees, uphold ethical business practices, and avoid potential legal troubles. Remember, investing in the well-being of your workforce is not just a moral responsibility but also a key factor in the long-term success and sustainability of your business.