Chipotle's Unfortunate History Regarding Child Labor Violations

Chipotle has a reputation for being a fast-casual restaurant that provides wholesome and nutritious food. But the chain's reputation is much less favorable when it comes to labor law compliance. As reported by NJ.com in September 2022, the restaurant was forced to pay $7.75 million in fines due to alleged child labor law violations spanning back to 2017. An audit conducted by the Labor Department in 2020 uncovered an estimated 30,660 supposed violations, which involved insufficient meal breaks and minors working beyond the legal allotment of hours.

Per the New Jersey Department of Labor and Workforce Development, there are strict rules regarding minors and general employment. Workers who are 16 years old are restricted to 8 hours per day, 40 hours per week, and 6 days per week. Working hours beyond those restrictions is in direct violation of the state's child labor laws. 

The laws also stipulate that workers under the age of 18 must receive a 30-minute meal break after working for five consecutive hours. Now that it's been determined that Chipotle violated these laws, the restaurant must take certain steps to avoid further legal issues.

How Chipotle plans to deal with compliance issues

In addition to paying a settlement, which goes to the state's Child Labor Law Enforcement Trust Fund to combat wrongdoing by employers, Chipotle must also implement certain protections to avoid child labor law violations in the future. The restaurant must train staff on relevant labor laws to ensure full compliance. And to make certain the correct actions are being taken, the chain will appoint a child labor compliance officer, as well as conduct self-audits.

As Laurie Schalow, chief corporate affairs officer for Chipotle, said in a statement provided to NJ.com, the restaurant has "implemented an enhanced labor scheduling program in our restaurants, creating a more efficient, consistent and compliant environment." 

Additionally, Schalow stated that providing employment to young people provides "valuable experiences and an opportunity for advancement." Despite Chipotle's willingness to make these changes to ensure a safer working environment for young people, this is not its first run-in with legal issues.

This isn't the first time the chain has been in legal trouble

As U.S. News & World Report reported in August 2022, Chipotle was ordered to pay $20 million to employees based on alleged labor law violations in New York City. After Chipotle workers filed complaints with the city, the Department of Consumer and Worker Protection discovered numerous violations taking place between 2017 and 2020, such as not posting schedules for restaurant staff at least 14 days prior. The payout involved 13,000 employees, including both former and current staff members.

The chain also experienced legal issues in Massachusetts, CNN reported in 2020. These violations occurred in the state between 2015 and 2019 and resulted from a parent complaining their child worked beyond midnight at the chain. As stated by Massachusetts.gov, workers aged 16 and 17 can only work between 6 a.m. and 10 p.m. if they have school the next day. During weekends and summer break, employees in this age group can only work until 12 a.m. when employed by a restaurant. 

Due to this and other alleged violations, Chipotle was ordered to pay $1.3 million in fines, as well as to make a $500,000 contribution to programs for young workers.