Letter: Farmer bemoans state labor fines

I operate the Pizza Farm, Corn Maze and Pumpkin Patch at Historic Cobb Ranch. Since the Pizza Farm opened in 1993, more than 500,000 visitors have been introduced to and learned about the important role that San Joaquin Valley agriculture, its farmers and farm workers play in feeding the world’s people.

Now, I am afraid we may be put out of business by the actions of overzealous bureaucrats.

Every year we hire temporary employees for our operations. Since these are seasonal and minimum wage jobs, we hire a lot of high school and college students, stay-at-home moms and seniors. We also get a lot of people that struggle to keep full-time employment for one reason or another. This year we posted an ad on CraigsList and had close to 300 applicants. Eventually we hired about 80-100 part-time, seasonal workers. As is often the case, some of our workers were less than productive. One disgruntled employee went to the Labor Commission with complaints. This started a snowball of problems that keeps getting bigger by the day.

The employee complained that we did not carry Worker’s Compensation Insurance. That triggered an unannounced inspection by the Labor Commission. Our temporary phone person for that day could not produce the records they wanted. We were given a $5,000 fine. When our hearing date came, I produced the documentation showing that our Worker’s Comp Insurance was in place; however, our appeal was denied.

During the investigation, the Labor Commission asked for payroll records. At this point they noticed my daily work schedule for our haunted attraction, Raisin Hell Ranch, and asked for payroll reports. I explained that the actors were paid a flat fee per performance, as with most “theater type” productions and that they were paid on closing night in cash. I then was asked to produce the payroll stubs. Since they were paid in cash, there were no stubs. The fine for this is $250 per employee. I had 59 employees. I was fined 59 times for the same mistake — a total of $14,750.

I have expressed my concern at the local and state level of the Labor Commission. Both say the “law is the law” and I broke it. Fair enough — I agree. In both cases, I technically broke the law. However, isn’t the purpose of an organization like the Labor Commission to help employers understand and follow the law, not fine them out of business? I was hit with nearly $20,000 in fines (and it’s not over) because I did not know all the laws. No one was injured — no one was cheated out of money — no one was harmed in any way. Yet I am being fined to the letter of the law with no review of circumstances.

When I complained, I was told “they” are sorry, that the fine seems extreme, but “their” hands are tied. I was told there is no discretion to the fines and that if I want them changed, I would need to change state labor law. When I contacted Mike Villines’ office, I was told they could not help me either.

My business has become a community icon for family entertainment and agricultural education. By no means are we perfect in all areas of government regulation, but we do our best. We provide the first job for many teenagers, Christmas money for stay-at-home moms and seniors, and temporary work for many who are un-hirable by most employers. We give families the opportunity to reconnect with their agrarian heritage, spend family time in a wholesome environment and enjoy the tranquility and beauty of the countryside.

Our business was 30 percent down this year and we did not even break even on our cost of operation. Now, on top of a bad year, the Labor Commission is fining me nearly $20,000. This fine may be the straw that breaks the camel’s back, as we may not re-open.

I am not asking you for financial help, but rather for you to share yet another story of how California is killing small business. No one is listening to me, but Sacramento might if the readers of your newspaper raised some hell.

Darren Schmall,
The Pizza Farm

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