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Wal-Mart Pays $11M For Using Undocumented Workers

HeadlineMar 21, 2005

Wal-Mart has agreed to pay the government a record $11 million settlement for illegally using low-paid undocumented workers to clean its stores. A five-year investigation determined that undocumented workers were used to clean nearly 1,000 stores. Wal-Mart did not admit to any wrongdoing — the store claimed it was unaware that outside contractors were employing illegal immigrants. Union organizers criticized the Justice Department for deciding not to bring criminal charges against Wal-Mart. The size of the $11 million settlement was also criticized. Last year the store had $285 billion in sales. Wal-Mart continues to face a federal class-action lawsuit in New Jersey. The suit claims that Wal-Mart denied overtime wages to some 10,000 undocumented immigrant janitors. The suit also accuses store managers of locking workers inside the store during their overnight shifts.

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