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Inglewood car wash ordered to pay more than $900k for wage theft

CBS News Los Angeles: The Rundown (Nov. 29 PM Edition)
CBS News Los Angeles: The Rundown (Nov. 29 PM Edition) 03:18

An Inglewood-area car wash was ordered to pay more than $900,000 for wage theft on Tuesday.

The fine, ordered by the Labor Commissioner's Office, was announced after an investigation found that 15 different workers at the car wash, Shine n Brite on Hawthorne Boulevard, were being paid a flat rate of $70 a day for anywhere between eight and 10 hours of work. 

In all, the fine equates to $908,998.

"These workers were paid as low as $7 an hour, which is unconscionable," Labor Commissioner Lilia García-Brower said in a statement.

According to workers, anyone who complained about wage theft or safety issues on the job were met with retaliation from the owner, who reduced their hours or dismissed some employees.

"This employer used different schemes to avoid paying legal wages, such as paying flat daily rates, and paying workers in cash," she said. "These practices are unlawful, and we will pursue all owed wages."

The investigation was launched in June of 2020 after the Labor Commissioner's Office received a referral from the CLEAN Car Wash Campaign, which works to ensure car wash workers are protected from exploitation. 

An audit of payroll records determined that the employer failed to pay workers for all hours worked and did not provide workers with required meal and rest breaks.

The Labor Commissioner's Office says that $818,548 of the total fine is payable to workers for unpaid minimum wages and overtime, liquidated damages, waiting time penalties, meal and rest period premiums, wage statement damages and accrued interest.

Some Individual workers are owed between $15,766 and $92,246.

$90,450 is also due in civil penalties for failing to pay minimum wages, overtime, and meal and rest premiums. The citations were issued to to Danmike Corp., Emunahahavah Corp. and Michael Zarabi — who was doing business as Shine N Brite.

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