Dairy producer ordered to pay $250,000
AG Ellison announces settlement over back pay
REDWOOD COUNTY — A large dairy producer with facilities in Redwood and Stearns counties was ordered to pay $250,000 in back wages Thursday, according to a settlement with Minnesota Attorney General Keith Ellison.
The civil lawsuit settlement stems from one of the largest wage theft lawsuits in Minnesota history filed in Stearns County in January.
Defendants Evergreen Acres Dairy, Evergreen Estates, Morgan Feedlots, and dairy operation owners Keith Schaefer and Megan were ordered to bring employee housing up to code and document pay terms and conditions of employment.
The settlement resolves Ellison’s lawsuit against the farm operation for systematically withholding wages from workers and illegally deducting rent from their wages for substandard housing.
The AG’s office will monitor Evergreen for three years including inspecting employee housing and obtaining wage-and-hour records. If Evergreen violations any settlement terms, it will be subject to another $250,000 civil penalty.
In addition, AG Ellison secured a legally binding commitment from Evergreen that workers will have access to legal services and provided with proper documentation of their pay and hours, as required by law.
It also ensures Evergreen will keep all employee records as required by law and will not deduct employee pay without written permission from the employee. The settlement further guarantees Evergreen will communicate the changes with its employees in English and Spanish.
Ellison filed the lawsuit after dozens of workers complained of wage theft and abysmal and poor worker housing conditions.
The suit alleged Evergreen systemically deprived low-wage dairy employees of wages they earned by shaving regular and overtime hours from workers’ paychecks, failing to pay wages owed at the start and end of workers’ employment and unlawfully deducting rent for substandard housing that failed to meet habitability standards under Minnesota law.
Some workers lived in garages, converted barns and other buildings not fit for human habitation. Some workers lived in housing with no onsite toilet, according to the lawsuit.
“Agricultural workers like these dairy workers at Evergreen are an important part of our economy and deserve to afford their lives and live with dignity, safety and respect. Today, we sent a strong message that dairy farms like Evergreen and all employers in Minnesota cannot illegally profit off the backs of workers,” said Ellison.
He thanked the workers who came forward to report violations committed by Evergeen Farms.
“If it weren’t for the courageous workers who came forward–despite Evergreen’s threats–to hold this company accountable, we would have never been able to investigate this case and achieve this settlement agreement. We look forward to continuing to work with the victims to help make them whole again,” Ellison concluded.
The attorney general’s office can be called at 800-657-3787. Spanish-speaking staff at the office are available.