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OPA Press Release: Labor Department Releases Garment Enforcement Report "No Sweat" Initiative Continues as New Measurers to Step Up Effectiveness of Manufacturing Monitoring are Announced [03/04/1997]

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The U.S. Department of Labor recovered more than $827,000 in back wages for minimum wage and overtime violations of the Fair Labor Standards Act (FLSA) for 2,200 garment workers during a 3 month period from October 1 to December 31, 1996, the department announced today.

According to the Labor Department's fourth quarterly garment enforcement report, the Los Angeles garment industry presents the greatest challenge to federal law enforcement. More than 800 workers there shared in roughly half ($409,623) of the back wages recovered for the entire nation. Throughout the state, 119 investigations were conducted, resulting in 65 violations. Back wages of $479,247 were collected for 1,245 garment workers throughout California. The state of New York followed with 80 investigations resulting in $171,160 worth of back wages collected for 657 garment workers. In addition, the department assessed $196,419 in civil money penalties for repeat and/or willful violations of FLSA. A total of $102,802 in civil fines were assessed against garment makers in New York and $62,617 in civil fines against California companies.

"This is the fourth garment enforcement report issued in the past year," said Cynthia A. Metzler, Acting U.S. Labor Secretary. "In 1995 retailers asked us then to let them know who the violators were, and they would take action to clean up this industry. We're asking the industry now to ask the tough questions of their suppliers. All retailers should know whether their merchandise was not produced illegally. We've now got a years' worth of information to help them do that." 

Metzler also announced that the department will take additional enforcement steps and offer enhanced education initiatives to ensure the effectiveness of manufacturers' monitoring of contractors for compliance with labor laws. She also encouraged the retail industry to make better use of the reports to raise questions with their suppliers about whether goods might have been produced by labor law violators.

"The Labor Department's No Sweat initiative is continuing to make sure that those manufacturers who sign the Department's compliance monitoring agreement--which I am pleased to report now numbers 74 nationwide--are fulfilling their commitments by requiring their contractors to comply with FLSA, performing pre-contract review of pricing terms with contractors and monitoring their contractors for compliance with the minimum wage and overtime requirements of FLSA."

"We are pleased with the positive impact that monitoring is having on the level of contractors' compliance," Metzler continued. "At the same time, however, we are concerned that a small number of these manufacturers, which were some of the first to sign the department's compliance monitoring agreement, have appeared on three of the department's enforcement reports."

The department will review the status of certain manufacturers' monitoring agreements and ask them to conduct a self audit within 30 days outlining deficiencies found and identifying specific steps they will take to remedy flaws in their programs.

Manufacturers contacted by the department will be those appearing on three of the four reports issued to date, including those which have voluntarily implemented a monitoring program or had given the department written assurances to comply with the FLSA provisions. They will be asked to sign the department's compliance monitoring agreement.

According to Metzler, "all of our compliance surveys show that monitoring works, so education for retailers and manufacturers is a critical component." In May, the department will conduct compliance monitoring workshops in garment manufacturing centers throughout the United States and will sponsor a seminar in Los Angeles for manufacturers who have monitoring programs to provide additional guidance on how to make their programs more effective.

Archived News Release--Caution: information may be out of date.