N.Y. Authorities Raid Alleged Sweatshop

NEW YORK — An investigation conducted by the New York State Department of Labor has uncovered significant labor violations at a factory manufacturing garments for Macy’s, Gap, Banana Republic, Express, Victoria's Secret, Limited and Coldwater Creek.

Jin Shun Inc., a garment contractor operating out of Long Island City, in the borough of Queens, is alleged to have underpaid more than 100 mostly immigrant workers by nearly $3 million in minimum and overtime wages since 2005.

The investigation found that prior to 2005, Jin Shun Inc. operated under the name Venture 47 and allegedly withheld nearly $2.5 million in minimum and overtime wages.

Officials raided two factories this morning and tagged more than 10,000 garments with a label stating the garments were unlawfully manufactured.

Jin Shun contracted with a Manhattan-based manufacturer called Urban Apparel that has already paid $60,000 in underpayments to have the tags removed on the items tagged this morning.

The DOL’s Apparel Industry & Fair Wages Task Force found factory workers worked 12-hour days, often six or seven days a week. Employees were paid on a piece-rate basis and were instructed to fill out two time cards — one for Monday through Wednesday and a second card for theremainder of the week — ensuring that no more than 40 hours of work would show on any card. According to the timecards and the factory's production, workers were completing an entire item of clothing in less than a minute. Investigators even found a question-and-answer sheet meant to coach workers on how to respond to labor investigators without raising suspicions.

By Ross Tucker
For complete coverage, see Thursday’s WWD.