This article was written with the assistance of ChatGPT.

The news: Retailers are facing more scrutiny from shareholders and the US government over their labor practices.

• A report by the Department of Labor found significant wage law violations in California’s garment industry, where some workers making products for retailers such as Nordstrom, Neiman Marcus, Dillard’s, and Stitch Fix were found to be earning as little as $1.58 per hour.
• Nike is under pressure from active investor Tulipshare to increase transparency into its efforts to prevent forced labor and other human rights abuses within its supply chain, per Reuters.
• Ex-CEO and founder of Starbucks, Howard Schultz, was questioned by the Senate last week over the company’s union-busting tactics.

A global issue: The Labor Department said that 80% of the investigations it carried out in Southern California uncovered violations of the Fair Labor Standards Act, highlighting the scale of the issue and raising concerns about the treatment of workers in the American garment industry, as well as the practices of brands and retailers involved.

• Nor is the issue confined to the US. In February, a coalition of 20 unions, along with the Asia Floor Wage Alliance and Global Labor Justice—International Labor Rights Forum, filed a complaint against Nike with the Organisation for Economic Co-operation and Development (OECD) alleging mistreatment of garment workers including arbitrary pay cuts, terminations and layoffs, unpaid wages,...

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