Garment Maker Charged Workers for Materials : Labor: State authorities call violations among most serious ever. Company was reacting to theft problem, lawyer says.

Calling it one of the most serious and unusual labor violations in the garment industry, state officials have found that a big Santa Ana apparel maker required many of its minimum-wage workers to essentially pay to work there.

Jose Millan, the state’s deputy labor commissioner, said California and federal investigators are preparing to fine Clothes Connection “several hundred thousand dollars” for overtime wage violations and for charging workers more than $100 every month for tools.

With few exceptions, state law requires employers to provide the tools and supplies needed for workers to do their jobs, but Clothes Connection has been requiring 300 to 500 of its garment workers to pay for bobbins, needles and scissors, according to Millan and the state Department of Industrial Relations investigation report.

“It’s one of the most egregious violations we’ve come across,” said Millan, whose investigators, along with federal officials, inspected Clothes Connection on April 20.

Cynthia A. Woodruff, an attorney for Clothes Connection, which employs about 1,400 people, acknowledged this week that the company has charged workers for tools. But the Beverly Hills lawyer said the practice was limited to some workers in the sewing department and that it was started about a year ago by management to combat theft in the workplace. “They had an enormous theft problem,” Woodruff said.

She also disputed the allegations of overtime violations, saying: “Overtime was paid for all hours worked. It’s a matter of what dollar rate was used for calculating overtime.”

Woodruff added that the company is conducting a self-audit covering the last three years and is cooperating with state and federal officials. She complained that state officials were releasing information about an ongoing investigation.

Woodruff said the company has recently hired a new human resources director and brought in consultants and experts to assess the workplace and ensure that the company is in compliance with regulations.

“They have gone to enormous lengths,” she said.

The state’s report, which was obtained through the Public Records Act, says workers in the sewing department paid cash for seven items, including aluminum bobbins, sewing needles, folders and bobbin case. In all, these items cost $126.75 plus tax, which Millan said individual workers had to buy about every month.

“When you’re making $4.25 an hour, that’s a lot of money,” Millan said, adding that in about 2,000 garment shop inspections over the last three years, only one other contractor has been cited for making workers pay for supplies.

Millan also said employees at Clothes Connection regularly worked overtime. But for putting in those extra hours, Millan said, workers were paid a “bonus” that in many cases amounted to less than the required overtime rate.

The inspection was conducted as part of a continuing joint program by state and federal officials to crack down on violations in the garment trade. Rarely have contractors been assessed six-digit figure penalties.