Garment contractor crackdown highlights need for better payroll practices

After conducting extensive investigations of the time and attendance policies in 10 Los Angeles-based garment contractors, the Department of Labor's Wage and Hour Division and the California Division of Labor Standards announced they found overtime, minimum wage and recordkeeping violations.

"The garment industry is a vital part of the economy of Los Angeles and California," said California's labor commissioner Julie Su. "We are intent on making sure that sweatshop practices are eliminated so that consumers can proudly purchase garments made in L.A., honest companies can compete and garment workers can thrive."

A Bureau of Labor Statistics report shows that apparel manufacturing employment has dropped 80 percent between 1990 and 2001, which could be the result of advanced automation that allows companies to become more productive while requiring less human labor, Bloomberg reports.

Individuals in low-paying positions are often less likely to speak up about unfair payroll practices out of fear they will lose their positions. However, this does not mean garment producers are not required to uphold labor rights as established in the Fair Labor Standards Act (FLSA). They can install a timeclock in their facilities to account for all workers' time and attendance so they can be sure each employee receives at least minimum wage.