Apparently, if your company is big enough and rich enough, you can get away with anything. The Justice Department announced a $135,540 settlement of federal charges that accused Wal-Mart Stores, Inc. of violating child-labor laws in Connecticut, Arkansas and New Hampshire from 1998 until 2002. A provision of the settlement is that Wal-Mart will receive 15 days notice before being inspected by the U.S. Labor Department for any future accusations. This sweetheart deal is a betrayal of the government’s trust-Wal-Mart needs to be treated like every other business.
The 24 violations involved 85 teenage workers using hazardous machinery. While the New Hampshire incident involved a minor injuring his thumb with a chainsaw, most of the Connecticut incidents involved minors loading cardboard baling machines. Past Wal-Mart violations of child-labor laws include a $205,650 fine levied in March 2000 by Maine when violations were found in all 20 stores in the state; a January 2004 audit of 128 stores found that Wal-Mart employees under 18 years old worked too long, too late or during school hours.
Other provisions in the recent settlement include requirements for better child-labor law training for managers, hiring only employees who are at least 14 years old and forbidding minors to use cardboard balers. Stickers warning that operators must be at least 18 are also to be placed on all the balers.
Congressman George Miller (D-CA) has asked the DoL Inspector General to investigate “whether the arrangement represents a sweetheart deal between the Bush Administration and one of the nation’s most frequent violators of labor laws,” a suspicion we are happy to see voiced.
Giving Wal-Mart a window of opportunity to clean up any future violations before the DoL shows up is just another example of government catering to gigantic corporations. Wal-Mart donated $2.1 million, more than any other retailer, to political campaigns in 2004. 80 percent of that went to Republican candidates, according to opensecrets.org. Being warned in advance to change practices insulates Wal-Mart from penalties and removes the major incentive to not abuse child labor.
In addition, the size of the settlements is mere pocket-change to a corporation the size of Wal-Mart, which has been known to simply close an outlet if employees unionize. Putting stickers on cardboard balers is an empty, laughable gesture when the corporation can violate labor laws without fearing that the DoL will see.
The government should enforce fair play among members of society, including both workers and employers. The 15 day notice is a gift from the U.S. government to Wal-Mart-a company with an already poor record on women’s and worker’s rights-and a sign of corporate influence coming to dominate social good. Advance warnings render inspections useless and allow problems to continue without consequence. The DoL should be on the side of the workers, no matter how much clout Wal-Mart has.
