USA: HelloFresh shares fall after ABC News reports on use of migrant child labour in Illinois facility; incl. co comment
In December 2024, it was reported that the US Department of Labor is investigating meal kit service company HelloFresh over alleged child labour of migrant children at its Illinois facility. Midway Staffing, which hired employees at the facility and also violated child labour rules, is also under investigation.
ABC News reports that at least six teenagers, including some from Guatemala, were working at the factory at night in what migrant rights activist Cristobal Cavazos calls “dangerous jobs”.
HelloFresh told ABC news: "We were deeply troubled to learn of the allegations made against a former temporary staffing agency…As soon as we learned of these allegations, we immediately terminated the relationship." Midway Staffing did not respond to ABC News’ request for comment.
Following the reporting, HelloFresh shares fell the most since August, as much as 8.2%, according to Bloomberg.