BusinessWeek: January 11, 1993

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FOOD LION: UNCLE SAM DOESN'T UNDERSTAND

Food Lion is meeting with the Labor Dept. to head gff federal charges of child-labor and overtime violations. The department is deciding whether to bring a lawsuit against the supermarket chain, based in Salisbury, N.C.

The department began its investigation more than a year ago, after the United Food & Commercial Workers alleged that company officials required employees to work after they had punched out. The department also said it found violations of rules prohibiting children from working with hazardous equipment, such as meat slicers.

A Food Lion spokesman says the government doesn't understand the system the company uses for scheduling workers. "We have strong policies against working off the clock," he says. "The problem has been a lack of information flowing to [the Labor Dept.] from us on how the system works."

EDITED BY HARRIS COLLINGWOOD
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