Garment Contractor Final Touch to Pay Back Wages

A fabric dyeing and finishing company that works with the Los Angeles apparel industry has agreed to pay nearly $104,000 in back wages owed to dozens of employees.

The U.S. Department of Labor announced on Sept. 4 that Final Touch Laundries Inc. in Gardena, Calif., will be paying 64 workers $103,904 in overtime pay and back wages. The department noted the government prohibits employers from shipping goods produced in violation of wage regulations until the wage issues are resolved.
 
The department’s Wage and Hour Division inspected the company’s records and found it had missed payroll for several work weeks and had violated the federal minimum wage and overtime regulations.

Also, the company—which launders, dyes, prints and finishes fabrics for clothing—had not kept proper time and payroll records, which is a violation of federal labor laws.

“All workers who put in an honest day’s work are entitled to an honest day’s pay,” said Priscilla Garcia, director of the Wage and Hour Division’s West Covina, Calif., district office, which did the inspection. “Low-wage workers, such as those employed at garment shops throughout Southern California, are particularly vulnerable. We will not tolerate employers defaulting on their obligations to pay employees.”

Deanne Amaden, a U.S. Department of Labor spokesperson in San Francisco, said inspectors were alerted to the situation through a telephone tip line, called EMPLEO, at (877) 552-9832. The tip line is a partnership between government and nonprofit organizations that assists Spanish-speaking workers with work-related concerns. It is staffed by volunteers from the Diocese of San Bernardino’s Catholic Charities Center and the Los Angeles Mexican Consulate.

Amaden said companies doing business with Final Touch included Providence Industries, San Luis Textile, 17/21 Group LLC and Lucky Textile. Final Touch Laundries is owned by George Chaghouri, who did not respond to a request for comment.

In early August, the federal and state labor departments announced they would launch a multiyear initiative to crack down on Southern California employers who do not pay minimum wages or overtime pay.

At that time, 10 teams, comprising 50 inspectors, visited 10 downtown L.A. garment factories that employed nearly 200 workers.

The result was $217,844 in citations for failure to carry workers’ compensation and failure to obtain a garment license.
—Deborah Belgum