Hyundai supplier admits to employing underage workers at Alexander City factory

SL Alabama LLC, a Hyundai supplier owned by a South Korean automotive parts manufacturing company, has admitted to employing children at its Alexander City factory.

The company’s admission, which was made in a statement to Reuters, comes on the heels of the U.S. Department of Labor (DOL) accusing the automotive parts maker of violating child labor laws on Monday.

In the department’s six-page complaint, DOL claimed that the company “repeatedly violated” labor regulations by “employing oppressive child labor” and “minors under the age of 16,” Reuters reported.

SL Alabama makes headlights, rear lights and other parts for companies including Hyundai and its Kia affiliate. According to the outlet, the company advised that the minors were hired by a third-party labor recruitment firm.

A proposed settlement has been filed in court between the supplier and the federal government. The agreement mandates that SL Alabama end its practice of hiring underage workers, punish managers that were aware of the violations, and cut ties with labor recruitment firms that supply child workers.

According to Reuters, the agreement was signed on Aug. 18 by SL Alabama’s legal representation and an attorney with DOL. The agreement has yet to be signed by a judge, the outlet noted.

“[W]e fully cooperated with the investigation by the Department of Labor, and we are in the process of complementing our verification system so that minors will not work going forward,” SL Alabama said in a statement to Reuters.

Hyundai told the outlet in an emailed statement that “it does not tolerate illegal employment practices in any Hyundai entity.”

“We have policies and procedures in place that require compliance with all local, state, and federal laws,” the automotive manufacturer added.

Investigative reporting conducted by Reuters last month unveiled that SMART Alabama LLC, another parts supplier that manufactures stamped metal for Hyundai Motor Manufacturing Alabama (HMMA), had utilized migrant child labor.

Dylan Smith is the editor of Yellowhammer News. You can follow him on Twitter @DylanSmithAL