FABRIC Act Fashioning Accountability and Building Real Institutional Change Act
The bill also introduces a requirement for garment manufacturers and contractors to register with the Department of Labor, with specifics on maintaining operational accountability within the industry. This registration will not only include basic business information but also require proof of adherence to labor laws, thereby elevating transparency in labor practices. The act aims to impose stringent penalties for non-compliance, making violations subject to significant civil penalties, which underscores the intent to safeguard workers' rights against exploitation.
SB2817, also known as the Fashioning Accountability and Building Real Institutional Change Act or the FABRIC Act, seeks to amend the Fair Labor Standards Act of 1938 to enhance regulation in the garment industry. A significant feature of this bill is the prohibition of piece rate payment for employees engaged in garment manufacturing. Instead, it mandates that these workers receive a minimum hourly wage, thereby aligning labor practices with broader standards of worker compensation within the U.S. This is aimed at improving the economic security of workers in the garment sector by ensuring they receive fair pay for their labor.
Notably, there are points of contention among stakeholders regarding the bill. Some proponents argue that eliminating piece rate compensation is a necessary step to eradicate exploitative labor practices widely reported within the garment industry, where such payment methods have led to inadequate wages and poor working conditions. On the other hand, opponents may voice concerns regarding the imposition of stringent regulations, suggesting it could adversely affect the industry's growth and adaptability. This underscores a tension between protective measures for workers and the operational flexibility sought by businesses.