The voice of labor. (Cumberland, Md.) 1938-1942, 1939-04-27

nounced, as the flrSt SIX month
In all, Il civil suits and S crimi-
nal actions have been instituted BY
the Wage and Hour Division or, at
its request. by the u S. Depart
ment OF Justice. OF these. Z
lnjunctions have been granted: 4
employers have pleaded guilty and
fines aggregating s3l 500 have been
imposed against them. Six civil
suits and one criminal case are now
pending.
$4,000 Fine
As the most severe penalty inn
posed in a criminal case. Admins
traitor Andrews cited the $4,000 fine
imposed on April 10 against Ma
thaniel Breath. executive vice presi-
dent Of Picardy Mills. Inc. largest
New York manufacturer OF gloves.
for failure to pay the minimum
wage and time and one-half for
overtime. and for classifying records
TO conceal underpayment. Breath
was indicted on S counts. A plea
OF guilty was entered on the day the
indictment was returned. Federal
Judge Robert A. Inch. in Brooklyn.
imposed a fine OF $1,000 on each
count, but suspended payment OF
the fine on 4 Of the counts upon
the promise that restitution would
be made to the underpaid employees.
At the same time. Judge Inch
placed Breath on probation for ,
months to insure restitution pay
ments to employees at an estimated
total Of si.700.
Two civil cases in which iude-
ments we're handed down in April
also we're cited by Mr.. Andrews.
6Civil suits are handled my the
Legal Branch OF the Wage and Hour
Division, while criminal actions are
presented by a special unit set up
in the U. 8. Department of Justice)
Fake Trade "school"
In the first case. Sportswear
Hosiery Mills. Inc. of Philadelphia.
agreed to an injunction signed by
Judge Harry Kalodner in the Fed
eral Court. Philadelphia. which pro-
hibits the corporation from attempt
a. t1NtFHtVVRttFTN
provisions OF the Act by maintain
ing trade school" at its Etowah.
Tenn. plant. The complaint was
filed by the Wage and Hour Di-
vision after the company started
the school" Complaints to the
division alleged that the school
was started a week after the Act
went into effect last october "a,
and ended only after the Division
had applied for an injunction. STU
dents" were graduated" when they
became proficient enough to earn
the minimum wage OF IS cents All
hour on piece-work rates Yet.
while they were in school, they
worked at the same machines. pro-
ducing goods for interstate COM
merce. on which they worked after
graduation
This was an obvious attempt 10
evade the law relating to the man
ner in which learner certificates
are issued" Administrator Andrews
said. "At the present time no
learner certificates have been
granted, and none will be granted
until a thorough investigation of
the industry and those for whom
the permits are requested has been
made"
The injunction was granted
after restitution was made 10
81 employees In a total amount
Of S2,O1S. Employees who had
been victimizcd In the attempt
10 evade the Act received
amounts varying from 8 cents
10 ST6.0S. Fourteen workers re-
eeived payments totai!ng $50 or
more, and % payments ranged
between $50 and $50.
Lumber Case Victory
An injunction permanently re-
straining the shipment in interstate
commerce OF 2.500.0O0 board feet Of
lumber and more than 1000 rail-
road crossties was granted the Wage
and Hour Division against the Wal
ton Lumber Company and II. II.
Walton. owner and operator. OF
Pendleton. Va. The amended COM
plant alleged that the defendant
Walton, and the Walton Lumber
Co. Inc. owners and operators OF
lumberyard and planning mill at
Pendleton, and other lumber yards
at Dumbarton and Beaver Dam.
Va. and also a general store at
Pendleton. paid prices TO small lum-
Der operators which precluded their
paying their employees the mini
mum wages. Defendants admitted
that lumber purchased by them had
been produced by small sawmill
operators in violation Of the Fair
Labor Standards Act.
On April IS Federal Judge
Robert N. Pollard. nj Richmond.
Va. signed n decree under which
all Of this lumber will be ear
marked and bills Of lading and
invoices Of its sale will be given
10 the Wage and Hour Division
to prove that h was not sold In
Interstate eommercs.