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Minnesota AG settles wage theft case with dairy farm

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Thursday, November 21, 2024

Minnesota AG settles wage theft case with dairy farm

State AG
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Attorney General Keith Ellison | Official Website

Minnesota Attorney General Keith Ellison has announced a settlement with Evergreen Acres Dairy and its associated entities, addressing wage theft and housing issues for dairy workers. The agreement requires Evergreen to pay $250,000 in back wages and improve employee housing conditions to meet legal standards.

The settlement resolves a lawsuit filed by the Attorney General's Office against Evergreen Acres Dairy, Evergreen Estates, Morgan Feedlots, and owners Keith Schaefer and Megan Hill. The suit alleged that the farm systematically withheld wages from employees and deducted rent for substandard housing.

Under the terms of the settlement, Evergreen must comply with Minnesota housing-habitability and employment laws. The Attorney General's Office will monitor compliance over three years, including inspections of employee housing and review of wage-and-hour records. Violations could result in an additional $250,000 civil penalty.

Evergreen is also required to provide workers with access to legal services and proper documentation of pay and hours. Employee records must be maintained according to law, and deductions from paychecks can only occur with written consent from employees. These changes must be communicated in both English and Spanish.

Attorney General Ellison initiated the lawsuit in January 2024 following numerous complaints about wage theft and poor living conditions for workers. Allegations included shaving hours from paychecks, not paying owed wages at employment start or end, and charging rent for inadequate housing facilities.

In March 2024, a temporary injunction was obtained requiring Evergreen to correct wage payments and improve housing while litigation proceeded.

“Agricultural workers like these dairy workers at Evergreen are an important part of our economy,” said Attorney General Ellison. “Today, we send a strong message that dairy farms like Evergreen cannot illegally profit off the backs of workers.”

Ellison acknowledged the courage of workers who reported violations despite threats from their employer. “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,” he stated.

This settlement is part of a broader initiative by the Attorney General's Office to combat wage theft across Minnesota. Workers with concerns can contact the office via its online complaint form or by phone.

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