Company says IRS found discrepancies with workers’ Social Security numbers

A Vernon food processing and packaging company was accused of racism on Wednesday, after 254 employees who had been with the company between five and 20 years were fired for “discrepancies with their Social Security numbers.”

About 75 people protested outside Overhill Farms, the largest food processing and packaging company in Southern California. The company provides packaged food products to grocery stores and larger companies like Panda Express, Jack-in-the-Box, Costco, and Sam’s Club. It has been in Vernon for over 40 years.

Ex-employees protest recent firing at Overhill Farms. / Manifestantes no dieron sus nombres, simplemente dijeron que estaban unidos. (EGP Photo by Fred Zermeno)

The company is allegedly using discrepancies in Social Security numbers as an excuse to fire higher paid full-time workers and replace them with cheaper part-time workers, “who do not enjoy benefits under the current collective bargaining agreement” with Local 770 of the United Food and Commercial Workers, according to Nativo Lopez of Hermandad Mexicana Latinoamericana, one of the lead organizers of the protest. In a written statement, Hermandad said the Social Security Administration “clearly establishes with employers that such discrepancy is not a cause for termination.”

“This is the largest mass firing of workers by a company due to alleged social security number discrepancy,” stated Lopez.

However, Social Security Administration Public Affairs Specialist Mariana Gitomer said the federal agency has no enforcement authority over what a company does or does not do regarding those discrepancies.

Alex Auerbach, Overhill spokesman and Board of Directors member, said the Internal Revenue Service initiated the investigation and Overhill had to comply. Two hundred and fifty employees were given 30 days to provide valid Social Security numbers and when they did not, they were terminated, said Auerbach.

“The IRS specifies it is illegal to have employees on payroll with invalid social security numbers,” said Auerbach.

Auerbach called accusations that the company is looking for cheaper worker and allegations of racism “incomprehensible” and “despicable,” considering the vast majority of their employees are Hispanic and unionized.

Lopez said dismissed and current Overhill employees on the Workers Council are seriously considering a boycott directed at the company’s vendors “to encourage a fair settlement and reinstatement of employment.”

(EGP News Service)