The more than 9,000 criminal charges filed recently against officials at an
Iowa meatpacking plant are a stark reminder that HR is on the hook for following
child labor and immigration laws.
The upshot of the case, in which authorities said children younger than 16
worked at the Agriprocessors plant in Postville, Iowa, is that human resources
professionals have to take compliance more seriously to protect both their
companies and themselves, says Jorge Lopez, co-manager of the immigration
practice for employment law firm Littler Mendelson.
“HR has to be much more
involved,” Lopez says. “There is liability not just on behalf of the company,
but individuals involved in the process.”
On September 9, the Iowa Attorney General’s Office charged Elizabeth
Billmeyer, Agriprocessors’ human resources manager, as well as Laura Althouse
and Karina Freund—described as management employees in Agriprocessors’ HR
division—with 9,311 violations of child labor laws.
Company president Abraham
Aaron Rubashkin and plant manager Sholom Rubashkin also were charged with the
violations, as was the firm. The alleged infractions involved 32 youths younger
than 18, seven of whom were younger than 16, according to the criminal
complaint.
The complaint alleges violations including employing a child
younger than 18 in a meatpacking plant and employing a child younger than 16 who
operated power machinery. Agriprocessors also shortchanged employees on overtime
pay, according to the complaint.
Althouse and Freund also face immigration-related charges. Althouse was
charged with aiding and abetting document fraud, aiding and abetting aggravated
identity theft and conspiring to harbor illegal immigrants. Freund was charged
with aiding and abetting the harboring of illegal immigrants.
Each
Agriprocessors official faces the possibility of years behind bars as well as
millions of dollars in fines.
In a statement, Agriprocessors denied that it knowingly employed underage
workers. Althouse and Freund could not be reached for comment.
Claims of wage-and-hour, child-labor and immigration infractions add up to a
volatile mix when it comes to a company’s reputation, says Mike Cherenson,
executive vice president of public relations firm Success Communications Group.
Cherenson, whose firm has studied reputation issues, says labor abuses lead to
wider questions about a firm.
He says people will ask, “If this is how they
treat their employees, what else are they doing wrong?”
Employers, especially
those in fields such as construction and agriculture, have to do more to verify
the status of potential workers, says Randy Pennington, a consultant on
workplace and leadership issues.
Paying for background-checking services is a key step, he says.
The issue largely boils down to courage on the part of HR managers,
Pennington says.
“I don’t believe that most HR professionals are knowingly violating the law,”
he says. “I also know it is very difficult to look at your boss and say, ‘We
have to go to a higher level of background checking.’ ”
Since 2006, federal officials have been stepping up criminal probes related
to undocumented workers, Lopez says. “Enforcement has been the word of the
day.”
—Ed Frauenheim
Workforce
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