Hyundai Sued for Child Labor in Alabama Supply Chain

Feds Hold Hyundai Accountable for Child Labor

The U.S. Labor Department has filed a lawsuit against for using child labor in its supply chain, reports The NY Times. This includes allegations that a 13-year-old girl worked up to 60 hours a week making car parts. The suit, filed in Montgomery, Ala., claims Hyundai is liable for child labor practices at its supplier, Smart Alabama, in Luverne. It also accuses a staffing agency, Best Practice Service, of recruiting children for the plant.

Hyundai’s Statement

Hyundai responded, stating that child labor contradicts their standards and values. They criticized the Labor Department for using “an unprecedented legal theory” to hold them accountable for their suppliers’ actions.

The Details of the Allegations

According to the suit, the 13-year-old girl worked long hours at the Smart Alabama factory, which produces parts like body panels for Hyundai’s Montgomery assembly plant. The Labor Department’s investigation revealed that Best Practice Service played a role in recruiting underage workers for the plant.

Legal and Ethical Implications

This lawsuit raises significant questions about corporate responsibility and the ethical oversight of supply chains. It underscores the need for companies to ensure their suppliers comply with labor laws. Hyundai’s statement suggests they believe the legal theory used to hold them accountable is unfair, yet the Labor Department maintains that corporations must bear responsibility for their supply chain practices.

EVXL’s Take

This lawsuit highlights a critical issue in the manufacturing industry: the responsibility of major companies for their supply chains. While Hyundai’s defense focuses on the legal approach, the broader issue remains the protection of vulnerable workers. Ensuring ethical practices across all tiers of production is essential for maintaining public trust and corporate integrity.

Photo courtesy of Hyundai.


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Haye Kesteloo
Haye Kesteloo

Haye Kesteloo is the Editor in Chief and Founder of EVXL.co, where he covers all electric vehicle-related news, covering brands such as Tesla, Ford, GM, BMW, Nissan and others. He fulfills a similar role at the drone news site DroneXL.co. Haye can be reached at haye @ evxl.co or @hayekesteloo.

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