Accusation: The U.S. Department of Labor (DOL) has filed a lawsuit against Hyundai and two supplier companies for employing a 13-year-old child illegally.
Allegation: The child worked up to 60 hours a week on an assembly line in Alabama.
Companies Involved: Hyundai, SMART Alabama (a Hyundai parts supplier), and Best Practice (staffing agency).
Hyundai owns a majority of SMART Alabama's parent company.
Legal Actions
Violation: Alleged violations of the Fair Labor Standards Act's child labor provisions.
Period of Employment: July 11, 2021, through February 1, 2022.
Complaint Goals:
Seek an order for the companies to release profits obtained from child labor.
Prevent future employment of child labor.
Hyundai's Response
Cooperation: Hyundai has cooperated with the DOL's investigation.
Denial of Responsibility: Hyundai claims they are not responsible for the child's employment.
Corrective Measures:
Terminated relationships with staffing agencies responsible, who falsely certified legal age compliance.
Conducted an investigation and review of U.S. supplier network.
Statements
Jessica Looman, Wage and Hour Division Administrator: Expressed shock and determination to hold employers accountable.
Hyundai: Plans to defend vigorously against the lawsuit.
SMART: Declined to comment on the situation.
Best Practice: No response to CNN's outreach.
Background
Hyundai and its suppliers have been under investigation by Reuters for child labor practices in Alabama.
Legal Proceedings
Filed In: Federal court in Alabama.
Conclusion
The DOL is aiming to cease child labor practices and ensure accountability and reform in the employment practices of Hyundai and its suppliers.