ST. PAUL — Minnesota Attorney General Keith Ellison filed a lawsuit against a large dairy operation Monday alleging at least $3 million in unpaid wages to vulnerable workers in addition to other allegations.

The lawsuit was filed in Stearns County District Court against Evergreen Acres Dairy, Evergreen Estates, Morgan Feedlots, and dairy operation owners Keith Schaefer and Megan Hill. It was alleged workers were illegally charged rent for substandard housing and worked in a culture of fear and violence to discourage reporting.

Ellison alleges Evergreen systematically deprived its vulnerable, low-wage dairy employees of millions of dollars in wages they earned by shaving regular and overtime hours from workers’ paychecks, not paying wages owed at the start and end of worker’s employment, and unlawfully deducting rent from substandard onsite housing that failed to meet habitability standards under Minnesota law.

The lawsuit seeks restitution for employee’s earned and unpaid wages and asks for liquidated damages, civil penalties, costs, and attorney’s fees.

“Every worker deserves to take home every dollar they earn and live with dignity, safety, and respect. That Evergreen systemically and deliberately deprived its employees of all the wages they earned is a shock to the conscience, and the conditions under which its employees live are abhorrent and illegal,” said Ellison.

“My office will fight to make sure the hardworking people who put food on our tables can afford to feed their own families and live in safe housing. We will also fight to make sure that businesses who play by the rules are not unfairly undercut by those who unlawfully exploit vulnerable workers and tenants,” Ellison added.

Evergreen employed hundreds of people over the last three years–who work long, demanding hours under dangerous conditions–at its facilities in Stearns and Redwood counties located near Morgan, Paynesville, Richmond, Albany, Freeport, Spring Hill, and Watkins.

“Many of them are unauthorized workers from Mexico who speak limited or no English,” read a news release from Ellison’s office.

Ellison alleges that Evergreen exploited the vulnerabilities of its workforce, with-holding earned wages from its employees who worked demanding, 12-hour shifts at least six days per week.

The lawsuit alleges Evergreen did so by systematically under-reporting the number of hours employees work on their pay stubs, often shaving off 12 to 32 hours from each two-week pay period, and depriving employees of regular wages and overtime.

The lawsuit alleges Evergreen “destroyed” time cards they are required to keep by law that would show how many hours its employees actually worked.

In addition, the lawsuit alleges some workers lived in windowless “bedrooms” with plywood walls, unfinished electrical sockets, and only space heaters for warmth. It added that some employees live in housing with no onsite toilet.

Other workers have lived in garages, haphazardly converted barns, and other buildings not fit for human habitation.

Most of the rental housing appears to have severe insect infestations, pervasive microbial growth, and other health and safety issues.

The news released added that when one employee was injured on the job and unable to work, Evergreen owner Keith Schaefer allegedly grabbed the worker by the neck, pushed them into a wall, and said they would be evicted from Evergreen housing in 10 minutes if they didn’t return to work immediately.

“Despite brazen attempts by Evergreen to silence employees, dozens of workers came forward to speak out against these employment and housing violations,” the news release stated.

“I want to thank the courageous workers who came forward, despite Evergreen’s threats, to help our Office hold Evergreen accountable for its numerous violations of the law. Without them, this action would not have been possible,” added Ellison.

Workers with concerns of complaints about systematic violations of state and federal wage laws can contact the Attorney General’s Office on its online complaint form (available in Spanish and English), or by calling 651-296-3353 (metro area) or 800-657-3787 (Greater Minnesota.” Spanish speaking agents of the Attorney General’s office are available.

For more information, visit www.ag.state.mn.us/Office/Communications/2024/01/08_Evergreen.asp