FOR IMMEDIATE RELEASE
IR #2008-51
July 21, 2008

CONTACT:
Dean Fryer
(415) 703-5050
Internet: www.dir.ca.gov


Labor Commissioner cites Los Angeles Orange County carwashes over $350,000 for violations

Los Angeles, July 21, 2008 — Officials with the State Division of Labor Standards Enforcement (Labor Commissionerís Office) issued 47 citations totaling $356,200 in fines to car wash businesses in Los Angeles and Orange counties as part of an ongoing effort to address illegal operations in the underground economy. As part of the recent two-day enforcement sweep, investigators visited 64 carwashes in Los Angeles County and eight in Orange County.

“Our efforts are directed at illegally operating carwash businesses as part of the underground economy,” said California Labor Commissioner Angela Bradstreet. “These illegal operations have a negative impact on our state’s economy, do not provide the protection workers are legally afforded, and have an unfair advantage over competitors who do follow the law.”

Thirteen investigators conducted the sweeps of 72 carwashes and found that 24 businesses were cited for not having the required registration and 19 businesses failed to have workers’ compensation insurance. In addition three businesses were found to be employing minors without the proper work permits and one business failed to provide itemized deductions to their employees.

As part of an ongoing effort to gain compliance, lawsuits have been filed targeting carwashes that continue to ignore the state law requiring annual carwash registration. These lawsuits can lead to the closure of carwashes that refuse to come into compliance and register with the state.

To request a complete list of the violations and businesses cited email the Department of Industrial Relations at: Communications@dir.ca.gov.


“We will continue to strengthen our efforts in addressing these types of violations that are typically associated with the underground economy,” added Bradstreet.

The Division of Labor Standards Enforcement adjudicates wage claims, investigates discrimination and public works complaints, and enforces state labor law and Industrial Welfare Commission wage orders. To learn more about the functions of the California Labor Commissioner, visit our web site at www.dir.ca.gov/dlse.

Employees that have work-related questions or complaints can call the California Workers’ Information Hotline at 1-866-924-9757.

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