ELECTROLUX TO PAY PENALTY FOR DELAYING REPORTING OVEN HAZARD TO CPSC

FROM:  U.S. JUSTICE DEPARTMENT 

Wednesday, May 14, 2014

Electrolux Agrees to Pay $750,000 Civil Penalty for Delay in Reporting Oven Hazard

The Justice Department’s Civil Division announced today that Electrolux Home Products Inc. (Electrolux), of Charlotte, North Carolina, has agreed to pay a civil penalty of $750,000 to settle allegations that it knowingly failed to report immediately to the U.S. Consumer Product Safety Commission (CPSC) a safety hazard associated with certain wall ovens sold to consumers.  Electrolux has also agreed to establish and maintain a compliance program with internal recordkeeping and monitoring systems to keep track of information about product safety hazards.

“Manufacturers and distributors of consumer products are required to report product defects and hazards to the Consumer Product Safety Commission immediately and there are penalties for those who fail to do so,” said Stuart F. Delery, Assistant Attorney General for the Justice Department’s Civil Division.  “We will continue to work with our partners at the CPSC to ensure that they can act promptly to protect consumers from injuries.”      

In a complaint filed on behalf of the CPSC in U.S. District Court for the Southern District of Georgia, the United States alleged that Electrolux became aware of incidents in which gas could build up in the oven during broiling and escape and ignite, causing burn and fire hazards to consumers.  Electrolux imported and distributed approximately 7,800 of the Kenmore ovens that were sold by Sears and other stores throughout the United States.

“CPSC will vigorously enforce the immediate reporting requirement found in the Consumer Product Safety Act,” said CPSC Acting Chairman Bob Adler.  “The federal reporting rules are aimed at protecting the safety of the American public.  Delay in reporting of product defects and hazards by manufacturers, distributors or retailers can result in civil penalties and other measures designed to ensure consumer safety.”

Under the Consumer Product Safety Act (CPSA), manufacturers, distributors, and retailers are required to report product hazards to the CPSC.  A knowing violation of the CPSA subjects a firm to civil penalties.  The United States alleged that between February 2006 and November 2007, Electrolux knew of 22 consumer reports of flames shooting out of the oven when the broiler was on.  The incidents resulted in consumer injuries ranging from singed hair to facial burns.  The United States alleged that Electrolux failed to immediately report hazards with the oven, despite the fact that Frigidaire Canada, Electrolux’s sister company, identified the defective and hazardous nature of the ovens in January 2005 and implemented a design change to fix the defect in March 2006.

“Public safety is a paramount concern,” said United States Attorney, Southern District of Georgia Edward J. Tarver.  “The United States Attorney’s Office must and will continue to work together with the CPSC to protect consumers.”

During the relevant time period, Electrolux’s principal place of business was in Augusta, Georgia.  A recall of the ovens was announced in 2008.  In agreeing to settle this matter, Electrolux has not admitted that it knowingly violated the CPSA.

The matter is being handled by the Department of Justice’s Consumer Protection Branch and the U.S. Attorney’s Office for the Southern District of Georgia, on behalf of the Consumer Product Safety Commission.

COMPANY SETTLES DISCRIMINATORY DOCUMENT IMMIGRATION REQUEST CASE

FROM:  U.S. JUSTICE DEPARTMENT 

Wednesday, May 7, 2014

Justice Department Settles Immigration-Related Discrimination Claim Against Master Klean Janitorial

The Justice Department reached an agreement today with Master Klean Janitorial, a company based in Denver, resolving claims that the company engaged in a pattern or practice of discriminatory documentary requests based on citizenship status in violation of the Immigration and Nationality Act (INA).

The department’s investigation was initiated based on a referral from U.S. Citizenship and Immigration Services.  The investigation found that Master Klean Janitorial subjected work-authorized non-U.S. citizen new hires to unlawful demands for specific documentation issued by the U.S. Department of Homeland Security in order to verify their employment eligibility, while U.S. citizens were permitted to present their choice of documentation.  The INA’s anti-discrimination provision prohibits employers from placing additional documentary burdens on work-authorized employees during the hiring and employment eligibility verification process based on their citizenship status or national origin.  This practice is commonly known as document abuse.

Under the settlement agreement, Master Klean Janitorial will pay $75,000 in civil penalties to the United States, undergo training on the anti-discrimination provision of the INA, revise its employment eligibility verification policies and be subject to monitoring of its employment eligibility verification practices for one year.

“The Department of Justice is committed to eliminating discriminatory hurdles for work-authorized non-U.S. citizens in the employment eligibility verification process,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division.  “I am pleased that Master Klean Janitorial has worked cooperatively with the department to reach an amicable resolution.”
The Office of Special Counsel for Immigration-Related Unfair Employment Practices (OSC) is responsible for enforcing the anti-discrimination provision of the INA.  The statute prohibits, among other things, citizenship status and national origin discrimination in hiring, firing or recruitment or referral for a fee, document abuse and retaliation or intimidation .  
For more information about protections against employment discrimination under immigration laws or how to sign up for a free webinar, call OSC’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired), call OSC’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired) or visit the OSC website at www.justice.gov/crt/about/osc .

Applicants or employees who believe they were subjected to different documentary requirements or discrimination based on their citizenship status, immigration status or national origin in hiring, firing or recruitment or referral should contact the worker hotline above for assistance.