A San Diego silk-screening contractor that produces official merchandise for artists including Lady Gaga, the Rolling Stones, Britney Spears, Willie Nelson and Ariana Grande had to pay $279,914 in back wages and damages to 76 workers.
The U.S. Department of Labor’s Wage and Hour Division found King Graphics shortchanged workers by failing to pay overtime at the time and one-half required rate of pay for all hours worked in excess of 40 in a workweek, a violation of the Fair Labor Standards Act, according to a May 9 release.
“Celebrities, retailers and manufacturers profit from T-shirts sold for $40 or more, while the low-wage workers who produce the merchandise work overtime to meet consumer demand and become victims of wage theft,” Acting Administrator of the Wage and Hour Division Jessica Looman said, according to the release.
Entertainers, distributors and wholesalers should ensure their profits aren’t supported by workers in sweatshops, she said in the release.
Under a hot goods provision, the employer withheld shipment of a truckload of Britney Spears’ T-shirts headed to Target stores and other items for sale at retailers such as Aeropostale, Footlocker, Hot Topic, Kohl’s, PacSun, Target and Urban Outfitters. A $10,473 payment by King Graphics lifted the hot goods hold, according to the release.