FOR IMMEDIATE RELEASE
IR #07-29
June 18, 2007

CONTACT:
Kate McGuire
Dean Fryer
(415) 703-5050


EEEC announces results of construction enforcement sweeps

Los Angeles - Investigators with the Economic and Employment Enforcement Coalition (EEEC) recently targeted businesses in the construction industry who were operating illegally. The businesses visited were in Los Angeles County.

EEEC is a multi-agency task force designed to root out California's underground economy. In the recent enforcement sweep in the construction industry, the EEEC targeted businesses that avoid labor, tax and licensing laws, safety and health regulations and carry no workers' compensation insurance for their employees.

"It is our job to protect California workers by ensuring that their employment rights are not violated," said EEEC Executive Director David Dorame. "Equally important, we are dedicated to ensuring that all employers have a level playing field. All employers must play by the rules and comply with California labor laws."

The results of the sweep are as follows:

Number of inspections
40
Number of citations issued 33
Total citation amount $225,600
Citations issued for no workers' compensation, not taking required payroll deductions and being an unlicensed contractor.

Launched in July'05 with the full support of Governor Arnold Schwarzenegger, the EEEC was formed with a dual mission: To enforce California labor laws; and to educate business owners and workers on those laws and regulations. On the enforcement side, the EEEC aims to root out businesses participating in the underground economy, which cost the state and legitimate businesses millions each year, in many cases passing the cost on to the consumer. In addition, EEEC helps educate business owners on California's employment laws and their responsibilities, and educates employees on their rights as workers.

EEEC is a collaboration of the Labor and Workforce Development Agency's Department of Industrial Relations (Division of Occupational Safety and Health; Division of Labor Standards Enforcement) and the Employment Development Department. The U.S. Department of Labor participates in the EEEC, as well as the Contractors State License Board when targeting the construction industry.

The EEEC conducts enforcement sweeps in various industries, including garment, agriculture, construction, horse race track, car wash, janitorial and restaurant, which have been identified as having a high degree of workplace violations and lack of regulatory compliance. EEEC also holds workshops throughout the state to educate employers and workers on labor and wage issues. For more information on the EEEC, please visit our website at www.dir.ca.gov.

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