WASHINGTON (AP) – The Justice Department filed a lawsuit Monday against some of the largest poultry producers in the U.S. along with a proposed settlement seeking to end what it claims have been longstanding deceptive and abusive practices for workers.
The suit, filed in federal court in Maryland, names Cargill, Sanderson Farms and Wayne Farms, along with a data consulting company known as Webber, Meng, Sahl and Co. and its president.
In its lawsuit, the Justice Department alleges the companies have been engaged in a multiyear conspiracy to exchange information about the wages and benefits of workers at poultry processing plants to drive down employee competition in the marketplace. The companies did not immediately respond to messages seeking comment.
The government contends the data consulting firm helped to share the information about the workers’ compensation with the companies and their executives. By carrying out the scheme, officials allege, the companies were able to compete less intensely for workers and reduce the amount of money and benefits they had to offer their employees, suppressing competition for poultry processing workers across the board, according to court papers.
The defendants and unnamed co-conspirators in the lawsuit account for hiring about 90% of all chicken processing jobs in the nation.