Memorabilia maker for Rolling Stones, Britney, other stars cheated workers, feds say
A California business that prints merchandise clothing for music giants such as the Rolling Stones, Britney Spears, Lady Gaga and Ariana Grande cheated its workers out of overtime pay, labor department officials say.
And now, it’s paying them back.
King Graphics, a merchandise maker in San Diego, denied its employees the mandated time and one-half overtime pay required for hours worked over 40 hours in a week, according to the U.S Department of Labor.
King Graphics did not immediately respond to a request for comment from McClatchy News on May 10.
Investigators said employers are required to provide overtime pay under the Fair Labor Standards Act (FLSA), which also mandates minimum wage and other employment standards for workers.
“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,” Jessica Looman, acting administrator of the Wage and Hour Division, said in a news release from the agency.
In September 2021, labor department officials said they requested that King Graphics stop shipping “hot goods” — products made by workers whose rights were violated.
At the time, investigators said the company withheld a shipment containing Britney Spears T-shirts headed to Target stores among other products to be sold at major retailers.
“All parties, from the entertainers to the (distributors) and wholesalers, should ensure their profits aren’t supported by workers in sweatshops, many of whom are immigrant women supporting families,” Looman said in the release.
King Graphics paid $10,473 to lift the “hot goods” hold, according to officials.
In April 2022, investigators said the company was ordered to pay $269,914 to the affected 76 workers for the $134,957 of overtime pay that was denied and its equivalent in “liquidated damages” as part of a lawsuit brought by the employees.
King Graphics will also pay $10,473 in “civil money penalties” and must hire a third-party to ensure further compliance with employment regulations, officials said.
King Graphics says it has been a full service screen print shop for more than 20 years in San Diego.
“We have phenomenal relationships with our suppliers and get the best prices period,” the website states. “We have yet to come across a price we couldn’t match or beat.”
The business listed Adidas, Quiksilver, Skechers and other major name brands as some of its clients, and investigators said the company prints about 30,000 items a day.
This story was originally published May 10, 2022 at 10:04 AM with the headline "Memorabilia maker for Rolling Stones, Britney, other stars cheated workers, feds say."
