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Panera Bread Franchise Faces $600,000 Fine for Labor Violations

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News Summary

Panera Bread cafes in Central Florida are facing a $600,000 fine due to child labor violations involving nearly 240 minors. The U.S. Department of Labor has classified these practices as ‘oppressive child labor.’ A consent decree mandates compliance with federal regulations, including audits and training to prevent further violations. The case highlights ongoing challenges surrounding child labor laws in Florida.

Orlando, Florida – Panera Bread Franchise Faces $600,000 Fine for Child Labor Violations

The owners of Panera Bread cafes in Central Florida are facing a substantial fine of $600,000 due to violations of child labor laws involving nearly 240 minors. This lawsuit was initiated by the U.S. Department of Labor (DOL) and reported on June 12, 2025.

Between the years 2021 and 2023, approximately 15 Panera Bread cafes located in the Orlando area employed minors under the age of 16, which is against federal regulations. The DOL has classified these practices as “oppressive child labor,” particularly emphasizing the violation of restrictions pertaining to the working hours of these young employees.

Federal law strictly outlines the conditions under which individuals aged 14 and 15 can be employed, including limitations on working hours and types of tasks permissible for minors. However, the lawsuit did not specify how many hours these minors actually worked or the specific roles they undertook during their employment.

Details of the Settlement and Compliance Measures

A consent decree, filed earlier in June, details the measures agreed upon by the franchisors moving forward to ensure compliance with federal child labor laws. As part of this settlement, the franchise operator, Covelli Enterprises, has consented to pay the aforementioned $600,000 fine in four installments starting July 15, subject to court approval.

The consent decree stipulates several critical requirements for Covelli Enterprises. They must conduct additional audits and guarantee that no workers under 18 years of age are allowed to operate hazardous equipment. Furthermore, under this decree, a third-party consultant will be established to provide additional training to employees regarding child labor laws.

Another significant measure requires the creation of an anonymous reporting line designed for employees to report any issues related to child labor practices. This is aimed at fostering a safer and more ethical work environment for young workers. Additionally, all employees under the age of 16 will be required to wear color-coded name tags to inform managers of their minor status, enhancing monitoring and compliance at the locations.

Long-term Commitments

Covelli Enterprises has made various pledges in line with the consent decree. They are committed to ensuring that no one under 18 will be hired for hazardous roles and will adhere to regulations regarding the working hours allotted for 16-year-olds. The franchise operator has also vowed to refrain from hiring any individuals under the age of 14 “under any circumstance.”

So far, Covelli Enterprises and Panera Bread have not responded to requests for comments regarding the lawsuit or the fines imposed.

Context of Child Labor Laws in Florida

Earlier this year, attempts to amend child labor laws in Florida were made by state lawmakers, aiming to allow older teens to work longer hours and create more job opportunities for younger adolescents. However, these efforts failed to pass, highlighting the ongoing challenges and evolving discussions surrounding child labor laws in the state.

The incident involving the Panera Bread franchise serves as a cautionary tale regarding the employment of minors, underscoring the importance of adhering to existing labor laws designed to protect young workers. The upcoming compliance measures may help mitigate risks and foster a safer workplace environment for minors in the future.

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