Business
Federal labor investigators say L.A. poultry plant used child labor and tried to cover it up
A federal judge issued a temporary restraining order on Monday to block a poultry processing plant in the city of Irwindale from using “oppressive” child labor.
The order came after investigators with the U.S. Department of Labor filed a lawsuit on Saturday alleging the poultry processor and its affiliated companies illegally employed children under the age of 18 to debone raw meat with sharp knives.
The department is seeking action forcing involved companies to forfeit money they made from selling products processed in facilities where minors were allegedly made to work in dangerous conditions.
The judge’s order involves three companies in the San Gabriel Valley — L & Y Food, Moon Poultry and JRC Culinary Group — that are all either owned, operated or managed by Fu Qian Chen Lu, who is also named in the lawsuit.
The Labor Department said in court documents that the companies continued to deliver and sell products even after agreeing to voluntarily refrain from shipping products following accusations of their use of child labor, and refused to provide information to investigators.
The companies hid 794 boxes of processed chicken and seven 1500-pound bins of chicken from investigators visiting the Irwindale facility, according to the court filings .
Federal officials and the poultry companies have presented dueling narratives of the child labor allegations.
Gregory W. Patterson, an attorney representing Chen Lu and other defendants named in the suit, accuses the Labor Department of planting an underage worker in the facility as part of its investigation, a claim the department has dismissed as “baseless.”
The crackdown by federal investigators comes as some of the country’s biggest consumer brands have come under broad scrutiny for child labor in their domestic supply chains amid revelations that children are working throughout American manufacturing and food production.
Investigators discovered children deboning poultry at the plant after visiting the facility in the city of Irwindale on Mar. 20 for a civil search warrant, the lawsuit said. Operators of the facility continued to process products, even after the Labor Department raised objections during its search warrant, in violation of federal laws prohibiting sale of products “tainted by child labor,” according to the lawsuit.
The “hot goods” provision of the Fair Labor Standards Act prohibits companies from selling products from locations flagged for child labor use in the prior 30 days.
U.S. District Judge Otis D. Wright II in his Monday decision issued a temporary restraining order requiring the businesses to stop using child labor, provide the Labor Department with information it is requesting related to its investigation, and refrain from shipping any poultry from facilities accused of employing child labor.
“In light of the immediacy of irreparable harm pending the Court’s review of this action, the Court finds a temporary restraining order warranted,” Wright wrote in his order on Monday.
Barring immediate action, he said, companies named in the lawsuit “will continue to employ oppressive child labor to the risk of minors’ life and limb; hot goods may enter the stream of commerce; and Defendants will continue to thwart Plaintiff’s investigation.”
Patterson, the attorney representing Chen Lu and other defendants, said in an emailed statement that the labor department had a 17-year-old “gain employment with Moon Poultry under false pretenses by presenting a fake government identification” and “directed this person to work in a hazardous area of the Moon Poultry facility in Irwindale.”
Patterson alleged that the Labor Department aimed to manufacture a child labor claim to “strengthen its negotiating hand” in an investigation about overtime wages that had not been paid to workers.
“The defense counsel’s allegations are false. The Labor Department has previously responded to the defense counsel on this issue, but he has nevertheless chosen to press his baseless claims,” said Marc Pilotin, regional solicitor for the Labor Department, in an emailed statement.
The Labor Department has investigated other poultry processing plants in California in recent months.
In December, federal investigators found grueling working conditions at two poultry plants in City of Industry and La Puente operated by Exclusive Poultry Inc. as well as other “front companies” owned by Tony Elvis Bran.
Children as young as 14 stood for long hours cutting and deboned poultry and operating heavy machinery, the labor department said. The workers came primarily from Indigenous communities in Guatemala.
The poultry processor, which supplies grocery stores including Ralphs and Aldi, was ordered to pay nearly $3.8 million in fines and back wages.
An investigation published in early February by the Fresno Bee detailed dangerous and sometimes deadly conditions for primarily Latino immigrant workers at Pitman Farms in the Central Valley, which produces the Mary’s Free Range Chicken brand.
Business
Disneyland Resort President Thomas Mazloum named parks chief
Disneyland Resort President Thomas Mazloum has been named chairman of Walt Disney Co.’s experiences division, the company said Tuesday.
Mazloum succeeds soon-to-be Disney Chief Executive Josh D’Amaro as the head of the Mouse House’s vital parks portfolio, which has become the economic engine for the Burbank media and entertainment giant. His purview includes Disney’s theme parks, famed Imagineering division, merchandise, cruise line, as well as the Aulani resort and spa in Hawaii.
Jill Estorino will become the head of Disneyland Resort in Anaheim. She previously served as president and managing director of Disney Parks International and oversaw the company’s theme parks and resorts in Europe and Asia.
Estorino and Mazloum will assume their new roles on March 18, the same day as D’Amaro and incoming Disney President and Chief Creative Officer Dana Walden.
“Thomas Mazloum is an exceptional leader with a genuine appreciation for our cast members and a proven track record of delivering growth,” D’Amaro said in a statement. “His focus on service excellence, broad international leadership and strong connection to the creativity that brings our stories to life make him the right leader to guide Disney Experiences into its next chapter.”
Mazloum had been about a year into his tenure at Disneyland. Before that, he was head of Disney Signature Experiences, which includes the cruise line. He was trained in hospitality in Europe.
In his time at Disneyland, Mazloum oversaw the park’s 70th anniversary celebration and recently pledged to eliminate time limitations for park-hopping, which are designed to manage foot traffic at Disneyland and California Adventure.
Mazloum will now oversee a 10-year, $60-billion investment plan for Disney’s overall experiences business, which includes new themed lands in Disneyland Resort and Walt Disney World. At Disneyland, that expansion could result in at least $1.9 billion of development.
The size of that investment indicates how important the parks are to Disney’s bottom line. Last year, the experiences business brought in nearly 57% of the company’s operating income. Maintaining that momentum, as well as fending off competitors such as Universal Studios, is key to Disney’s continued growth.
In his new role, Mazloum will have to keep an eye on “international visitation headwinds” at its U.S.-based parks, which the company has said probably will factor into its earnings for its fiscal second quarter. At Disneyland Resort, that dip was mitigated by the park’s high percentage of California-based visitors.
Times staff writer Todd Martens contributed to this report.
Business
What soaring gas prices mean for California’s EV market
It has been a bumpy road for the electric vehicle market as declining federal support and plateauing public interest have eaten away at sales.
But EV sellers could soon receive a boost from an unexpected source: The war in Iran is pushing up gas prices.
As Americans look to save money at the pump, more will consider switching to an electric or hybrid vehicle. Average gas prices in the U.S. have risen nearly 17% since Feb. 28 to reach $3.48 per gallon. In California, the average is $5.20 per gallon.
Electric vehicles are pricier than gasoline-powered cars and charging them isn’t cheap with current electricity prices, but sky-high gas prices can tip the scales for consumers deciding which kind of vehicle to buy next.
“We probably will see an uptick in EV adoption and particularly hybrid adoption” if gas prices stay high, said Sam Abuelsamid, an auto analyst at Telemetry Agency. “The last time we had oil prices top $100 per barrel was early 2022 and that’s when we saw EV sales really start to pick up in the U.S.”
In a 2022 AAA survey, 77% of respondents said saving money on gas was their primary motivator for purchasing an electric vehicle. That year, 25% of survey respondents said they were likely or very likely to purchase an EV.
As oil prices cooled, the number fell to16% in 2025.
In California, annual sales of new light-duty zero-emission vehicles jumped 43% in 2022, according to the state’s Energy Commission. The market share of zero-emission vehicles among all light-duty vehicles sold rose from 12% in 2021 to 19% in 2022.
“Prior to 2022, we didn’t really have EVs available when we had oil price shocks,” Abuelsamid said. “But every time we did, it coincided with a move toward more fuel-efficient vehicles.”
Dealers are anticipating a windfall.
Brian Maas, president of the California New Car Dealers Assn., predicted enthusiasm for EVs will rebound across California if oil prices don’t come down.
“If prior gasoline price spikes are any indication, you tend to see interest in more fuel-efficient vehicles,” he said.
Rising gas prices could be a lifeline for EV makers at a time when federal support for green cars has been declining.
Under President Trump, a federal $7,500 tax incentive for new electric vehicles was eliminated in September, along with a $4,000 incentive for used electric vehicles.
In California, the zero-emission vehicle share of the total new-vehicle market was 22% through the first 10 months of 2025, then dropped sharply to 12% in the last two months of the year, according to the California Auto Outlook.
Meanwhile Tesla, the most popular EV brand in the country, has grappled with an implosion of its reputation with some consumers after its chief executive, Elon Musk, became one of Trump’s most vocal supporters and helped run the controversial Department of Government Efficiency.
Over the last several months, Ford, General Motors and Stellantis have pared back EV ambitions.
Other automakers, including Nissan, announced plans to stop producing their more affordable electric models.
The Trump administration has moved to roll back federal fuel economy standards and revoked California’s permission to implement a ban on new gas-powered car sales by 2035.
David Reichmuth, a researcher with the Clean Transportation program in the Union of Concerned Scientists, said the shift in production plans will affect EV availability, even if demand surges.
That could keep people from switching to cleaner vehicles regardless of higher gas prices.
“This is a transition that we need to make for both public health and to try to slow the damage from global warming, whether or not the price of gasoline is $3 or $5 or $6 a gallon,” he said.
According to Cox Automotive, new EV sales nationally were down 41% in November from a year earlier. Used EV sales were down 14% year over year that month.
To be sure, oil prices can fluctuate wildly in times of uncertainty. It will take time for consumers to decide on new purchases.
Brian Kim, who manages used car sales at Ford of Downtown LA, said he has yet to see a jump in the number of people interested in EVs, hybrids or more fuel-efficient gas-powered engines.
Still, if the price at the pump stays stuck above its current level, it could happen soon.
“Once the gas prices hit six [dollars per gallon] or more and people feel it in their pocket, maybe things will start to change,” he said.
Business
Nearly 60 gigawatts of U.S. clean power stalled, trade group finds
A total of 59 gigawatts of U.S. clean energy projects are facing delays at a time when demand for power from AI data centers is surging, according to a trade group study.
Developers are seeing an average delay of 19 months over issues such as long interconnection times, supply constraints and regulatory barriers, the American Clean Power Assn. said in a quarterly market report.
The backlog is happening despite the growing need for power on grids that are being taxed by energy-hungry data centers and increased manufacturing. The Trump administration has implemented a slew of policies to slow the build-out of solar and wind projects, including delaying approvals on federal lands.
The potential energy generation facing delays is the equivalent of 59 traditional nuclear reactors, enough to power more than 44 million homes simultaneously.
“Current policy instability is beginning to impact investor confidence and negatively impact project timelines at a time when demand is surging,” American Clean Power Chief Policy Officer JC Sandberg said in a statement.
Despite the hurdles, developers were able to bring more than 50 gigawatts of wind, solar and batteries online in 2025, accounting for more than 90% of all new power capacity in the U.S., the report found. Clean power purchase agreements declined 36% in 2025 compared with 2024, signaling that the build-out of clean power in the U.S. could be lower in the 2028 to 2030 time period, according to the report.
Chediak writes for Bloomberg.
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