News Release

OPA News Release: [05/01/2002]
Contact Name: Geoff Embler
Phone Number: 202-693-4650

U.S. Department of Labor Sues Brooklyn Garment Shop for Wage Violations

NEW YORK -- The U.S. Department of Labor announced today the filing of a lawsuit against a Brooklyn garment factory located at 456 Johnson Avenue in the Bushwick section of Brooklyn for violations of the Fair Labor Standards Act (FLSA).

The complaint filed in the U. S. District Court, Eastern District of New York, alleges willful violations of the overtime and record keeping provisions of the FLSA by two corporations, Mario Sweater Contracting Corp. and Danmar Finishing Corp. Additionally, the complaint cites the principals of these corporations, Dragisa Dimitraskovic, Jelena Dimitraskovic, and Mica Dimitraskovic.

The complaint follows an investigation by the Wage and Hour Division's office in New York City. The complaint alleges that since December 1998 defendants failed to pay their employees overtime and falsified records to conceal their violative practices. The complaint seeks an injunction restraining future violations as well as unpaid overtime and an equal amount in liquidated damages for 175 employees of the firms. The filing of this complaint does not preclude the filing of additional charges if the evidence warrants.

“Our investigation and this court action are reflective of our commitment to low-wage workers in New York City and throughout the country. We will not tolerate employers who take advantage of vulnerable immigrant workers,” stated Tammy McCutchen, Administrator of the Wage and Hour Division. “ I commend the investigators who have worked tirelessly for many months interviewing workers and reviewing countless records to develop the facts resulting in this suit. This investigation was complicated and the progress slowed by the first company, Mario Sweaters, ceasing operations before our investigation could be concluded. However, when Wage and Hour learned that Danmar was operating the same business at the same location, we renewed our investigation.”

The FLSA requires that employees be paid the minimum wage of $5.15 per hour; time and one-half their regular rate of pay for hours worked over 40 per week; and that accurate records be maintained of employees’ wages, hours and other conditions of employment. The overtime premiums required under the FLSA are applicable to both hourly and piece rate paid garment workers. The FLSA makes it unlawful to fire or in any other manner discriminate against an employee for filing a complaint or participating in a legal proceeding under the FLSA.

“This case has garnered a great deal of publicity in recent days. We are very concerned about allegations of retaliatory discharge and other actions appearing adverse to the workers. We are investigating these allegations. If the evidence warrants, we will not hesitate to amend the complaint with additional charges,” said McCutchen.

For more information about the FLSA, call the Department of Labor's toll-free help line at 1-866-4USWAGE (1-866-487-9243) or contact the New York City office at 212-264-8185. Information is also available on the Internet at www.dol.gov.

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