Two mushroom farms in Northern California have agreed to pay over $450,000 in back wages and damages to dozens of employees following a federal investigation into work and living conditions that began after a deadly shooting incident in 2023, the US Department of Labor announced this week.
The investigation into California Terra Gardens and Concord Farms Inc. in Half Moon Bay revealed that the employers had underpaid workers and provided unsafe housing conditions, including mold and insect infestations, according to the Labor Department’s news release on Monday.
Investigation Findings
The investigation found that workers at California Terra Gardens were housed in cramped cargo containers, garages, and dilapidated trailers, forced to sleep on filthy mattresses, and exposed to insects and trash. The farm’s owners were found to have illegally deducted money from workers’ pay for this substandard housing.
At Concord Farms, workers were found living in moldy, makeshift rooms in a greenhouse infested with insects. The farm’s owner failed to pay overtime for hours worked beyond 40 hours a week and did not compensate workers for off-the-clock work.
Administrative Settlements
The back wages and damages are part of administrative settlements for violations of the Migrant and Seasonal Agricultural Worker Protection Act and the Fair Labor Standards Act. Concord Farms agreed to pay $370,107 in overtime wages and liquidated damages to 10 workers, $4,242 in late wages to 23 workers, and $29,049 in civil money penalties. California Terra Gardens agreed to pay $84,074 to 39 workers for illegal housing deductions and $42,494 in civil money penalties.
Context and Background
The federal investigation was initiated after a January 23, 2023, shooting incident in which a California Terra Gardens worker, Chunil Zhao, allegedly killed seven workers and injured another at the two farms. Zhao, a 66-year-old Chinese citizen at the time, was arrested and has pleaded not guilty to seven counts of first-degree murder and one count of attempted murder. He is currently awaiting trial.
Response and Actions
Following the shooting, officials, including the state’s governor, criticized the living conditions on the farms, prompting state and federal investigations. In June, the California Division of Occupational Safety and Health cited the farms for “serious” health and safety violations.
“Our investigators found workers at California Terra Gardens and Concord Farms housed in sickening conditions, forced to sleep near garbage and with insects all around,” said Alberto Raymond, the department’s wage and hour division assistant district director.
The settlements highlight the ongoing efforts to address and rectify labor violations and improve living and working conditions for agricultural workers.