|
Four chains bought from sweatshops that exploit workers
December 14, 1997
Lai
Web posted at: 1:29 p.m. EST (1829 GMT)NEW YORK (CNN) -- Four major national retailers have sold garments made in two sweatshops in New York City's Chinatown that have withheld at least $214,000 from 73 workers, the U.S. Department of Labor said.
The garments were made for private clothing lines, including those carrying the names of television talk show co-host Kathie Lee Gifford and actress Jaclyn Smith. The items were sold at Wal-Mart, Kmart, Nordstrom and Lerner shops, a subsidiary of The Limited, Secretary of Labor Alexis Herman said.
Federal investigators say the clothing was made at two garret factories owned by Lai Fong Yuen: MSL Sportswear Inc. and Laura & Sarah Sportswear Inc. The factories -- both union shops -- kept two sets of books, one with false numbers indicating they were in compliance with federal wage and working-hour laws, officials said.
Watch CNN's Brian Jenkins entire report
2 min. VXtreme video
Protesters outside a sweatshop The sweatshops either did not regularly pay their workers or failed to pay them for overtime, Herman said Friday.
Nordstrom: 'We're very concerned'
The 73 employees -- all Chinese immigrants -- were working up to 80 hours a week for less than minimum wage, Labor officials said. The workers were being paid piece rates, which often fail to meet the $5.15 per hour minimum wage, and were not receiving time-and-a-half for overtime. Some of them had not received regular paychecks since August, officials said.
"It is unacceptable that these workers -- among the most vulnerable -- were forced to work without pay," Herman said.
The Labor Department fined the factories $36,500 for falsifying records and other violations. Officials said the department had restored $50,000 in back wages to the workers, and planned to pay an additional $45,000 soon. Some of the manufacturers using the factories have agreed to pay some of the overdue wages.
A protester holds a sign criticizing talk show co-host Kathie Lee Gifford, dubbed the "Queen of Sweatshops" "We're very concerned and take this violation very seriously. We take accountability, especially when it's our own product," said Erik Nordstrom, co-president of Nordstrom department stores.
Nordstrom said Profiles Fashion Inc., which makes his chain's Classique Entier line, sent 72 garments to one of the sweatshops for repair without notifying Nordstrom officials. "We believe that if a vendor would have used our approved factories this wouldn't have happened," he said.
Workers reluctant to complain
New York Attorney General Dennis Vacco has charged Yuen with two misdemeanors for failing to pay her workers. She pleaded innocent to the alleged violations on December 8. A trial is scheduled for January 28, and Yuen faces up to a year in jail and a $10,000 fine if convicted.
Her attorney, Joseph Sorrentino, said it was wrong for New York to file charges against her because she was having trouble paying her workers.
Labor officials said Yuen's factories were being monitored, but investigators had difficulties interviewing the Chinese- speaking workers. Labor officials also suggested someone tipped Yuen off about a monitor's visit.
Gifford, meanwhile, vowed to help stamp out worker exploitation after it was discovered last year that part of her line for Wal-Mart was made at sweatshops in Honduras.
The discovery spurred President Clinton to form a task force to examine the way conditions are monitored at clothing and shoe factories around the world. But little headway has been made on the issue.
Union leaders say workers are reluctant to complain because they need the work. And the apparel industry says most brand name labels already pay more than minimum wage in many countries.
The industry also says it is difficult to determine a "living wage" for every nation.
Correspondent Brian Jenkins and The Associated Press contributed to this report.
Related stories:
- World conference seeks end to child labor - October 26, 1997
- Coalition protests child labor in Pakistan - July 15, 1996
Related sites:
Note: Pages will open in a new browser window
- International Child Labor Study Office reports
- International Programme on the Elimination of Child Labour - International Labour Organization
- Child Labor Coalition
- United Nations Children's Fund
External sites are not endorsed by CNN Interactive.
Sound off on our
message boards
You said it...
© 1997 Cable News Network, Inc.
All Rights Reserved.Terms under which this service is provided to you.