California Car Washes Fined for Workers’ Comp Violations

Officials with the California’s Division of Labor Standards Enforcement issued 47 citations totaling $356,200 in fines to car wash businesses in Los Angeles and Orange counties as part of an ongoing effort to address illegal operations in the underground economy. As part of the recent two-day enforcement sweep, investigators visited 64 carwashes in Los Angeles County and eight in Orange County.

Thirteen investigators conducted the sweeps of 72 carwashes and found that 24 businesses were cited for not having the required registration and 19 businesses failed to have workers’ compensation insurance. In addition three businesses were found to be employing minors without the proper work permits and one business failed to provide itemized deductions to their employees.

As part of an ongoing effort to gain compliance, lawsuits have been filed targeting carwashes that continue to ignore the state law requiring annual carwash registration. These lawsuits can lead to the closure of carwashes that refuse to come into compliance and register with the state.

“We will continue to strengthen our efforts in addressing these types of violations that are typically associated with the underground economy,” said California Labor Commissioner Angela Bradstreet.

Source: California Division of Labor

Topics California Auto Workers' Compensation