Supreme Court Ruling on Undocumented Workers Could Have Apparel Impact

A recent U.S. Supreme Court decision concerning the rights of undocumented workers could have an impact on the local apparel industry, according to some sources.

In Hoffman Plastic Compounds Inc. v. National Labor Relations Board, the court determined in a 5–4 decision that an undocumented worker who was terminated for participating in union activities was not entitled to back pay remedies. (A documented worker fired under similar circumstances could sue for wrongful-termination compensation or file for unemployment).

Kimi Lee, director of the Garment Worker Center, says there are approximately 140,000 garment workers in Los Angeles and a majority of them are undocumented immigrants from Latin America and Asia.

The Garment Worker Center, a nonprofit organization that opened its doors last year in downtown Los Angeles, strongly opposes the court’s decision.

Lee said undocumented workers are susceptible to exploitation by their employers.

“Most of these workers are the backbone of our society and deserve to be recognized and treated with respect,” Lee said. “Our government should punish employers for exploiting and mistreating workers, not punish workers.”

Julie Su, litigation director for the Asian Pacific American Legal Center, said the decision should not hinder employees’ ability to recover lost wages but added that misinterpretation of the decision could lead to abuse of the ruling.

“I think the decision will be abused by employers to give workers the impression that they are not entitled to make a claim for wages or to stand up and file lawsuits and demand that the wages get paid,” she said.

Su, who is currently working on wage violation cases involving Bebe Clothing and Forever 21, said some manufacturers are already trying to use the Hoffman case as a blueprint to dissuade workers from making demands for unpaid wages, citing her case with Bebe as an example. Su said the company and its contractors both sent a letter to the Asian Pacific American Legal Center requesting the immigration status of its workers.

Bebe owner Manny Mashouf could not be reached for comment.

Dov Charney, owner of Los Angeles-based American Apparel, which promotes itself as a sweatshop-free manufacturer, said the ruling “sets a tone and creates an atmosphere where workers’ [rights] can be abused.”

Charney said his company works with local associations to provide immigrants with information about immigration laws “to help them or their family members improve their living conditions.”

California Fashion Association executive director Ilse Metchek said many of the employers who hire undocumented workers are already operating outside the law. The ruling will “mitigate their financial responsibility,” she said.

However, Department of Labor spokesman Tino Serrano said employers will still be responsible for back wages regardless of whether or not the employee is documented or undocumented.

The state’s wage and hour division, which enforces the Fair Labor Standards Act, “is blind to legal work status,” said Serrano, who added, “The labor standards act says if you put in the hours you will be paid for them regardless of whether an employee is documented or undocumented.”