California EEEC Cites Bay Area
Pallet Manufacturers For Widespread Labor Violations
Francisco, CA (CompNewsNetwork) - The Labor and Workforce Development Agency today
announced that Economic Employment Enforcement Coalition (EEEC) investigators issued 49
citations for safety and labor violations – with fines totaling more than $567,000 – in a
recent sweep of Bay Area pallet manufacturers.
The enforcement actions, conducted on Feb. 6 and 7, uncovered serious violations that
Failure to pay minimum wage; Failure to have workers’ compensation insurance and not
providing itemized wage statements; Disabled safety latches on circular saws and other
power tools; Failure to supply safety equipment such as safety glasses or earplugs, and
safety training; Working conditions such as ungrounded electrical equipment, workers
ankle-deep in mud, no toilets on site, and illegal on-site dormitory-style rooms with no
heat, plumbing or electricity. "California law provides protections for workers and it
is our responsibility to ensure that the laws are being followed," said Robert Jones, the
Labor and Workforce Development Agency’s deputy secretary for enforcement. "We are
investigating unscrupulous businesses like these for their mistreatment of workers and
creation of dangerous working conditions. By targeting enforcement against illegal
operators, we help level the playing field and restore competitive advantage to law abiding
businesses and their employees."
To request a complete list of the violations and businesses cited email the Department
of Industrial Relations at: Communications@dir.ca.gov.
Launched in July of 2005 by Governor Arnold Schwarzenegger, the EEEC is a multi-agency
task force designed to root out California’s underground economy by enforcing California
labor laws, and educating business owners and workers about those laws and regulations in
workshops held regularly statewide.
Businesses engaged in the underground economy deprive the state and legitimate
businesses of millions of dollars each year, and in many cases, pass the cost on to the
consumer. During unannounced enforcement sweeps, the EEEC targets businesses that avoid
labor, tax and licensing laws, safety and health regulations and carry no workers’
compensation insurance for their employees.
EEEC is currently targeting garment, agriculture, construction, pallet, auto body, car
wash and restaurant businesses. These industries have been identified as having a high
incidence of workplace violations and a lack of regulatory compliance.
In collaboration with the Labor and Workforce Development Agency’s Department of
Industrial Relations (DIR) and the Employment Development Department, EEEC works directly
with DIR’s Division of Occupational Safety and Health and Division of Labor Standards
Enforcement to carry out its mission. The U.S. Department of Labor also participates in the
EEEC as does the Contractors State License Board when the construction industry is being
For more information on the EEEC, please visit our website at www.dir.ca.gov.
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