California Attorney General Rob Bonta settled with a national cleaning and sanitation company to resolve allegations that the company used unlawful no poach agreements.
The settlement is against Packers Sanitation Services Inc. LTD., now doing business as Fortrex. As part of the settlement, the company will provide notice to employees and customers regarding its discontinued use of the unlawful provision, in addition to paying $500,000 in penalties.
PSSI is a national cleaning and sanitation company that contracts with meatpacking and food processing facilities in California and across the country. Nationally, PSSI employs more than 17,000 workers across 500 worksites. PSSI has had cleaning contracts with more than 20 meatpacking and food processing companies in California.
In April, Bonta filed a lawsuit against PSSI for no-poach provisions after his office’s investigation revealed that PSSI had implemented a no-poach provision in 22 out of its 24 operative contracts in California, which impacted the rights of 6,000 employees who worked pursuant to those contracts.
The judgment, once approved by the court, would resolve the allegations.
Topics California
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