The settlement follows an investigation by the Pennsylvania Department of Labor and Industry that began in February 2025 after the agency received complaints about minors who were injured while working at Walmart stores. Investigators conducted 10 audits at eight Walmart locations statewide and found an average of 65 violations of the Child Labor Act per audit, according to the governor's office.

The violations included allowing minors to work more hours than state law permits and failing to obtain required work permits for minor employees. After identifying a pattern of violations at the audited stores, the administration expanded its enforcement efforts to Walmart locations across the commonwealth.

Under the agreement, Walmart will pay $7.68 million in administrative penalties, in addition to $142,785 in fines already paid following the initial investigations. Gov. Josh Shapiro described the action as one of the largest child labor enforcement actions in the nation's history.

"Pennsylvania's child labor laws exist to protect our kids, and employers have a responsibility to follow them," Department of Labor and Industry Secretary Nancy Walker said in a news release. "When our investigators identified a pattern of violations at Walmart stores, we knew we needed to look beyond those individual locations. This settlement is the result of our team's work to hold Walmart accountable across the Commonwealth, and the future commitments we've secured will help prevent these violations from happening again. Protecting young workers is one of our most important responsibilities, and we take it seriously."

As part of the settlement, Walmart has agreed to take steps to prevent future violations, including training managers on child labor laws and posting information about employees' rights.

A Walmart spokesperson said in a statement, "We're pleased to have resolved this matter. We have processes in place to support compliance with applicable laws, including the paperwork requirements, and we regularly review and improve them."

The case highlights growing scrutiny of how large retailers treat young workers. Pennsylvania's Child Labor Act limits the hours minors can work and requires employers to obtain work permits before hiring them. State officials said the investigation was prompted by injuries to minors, underscoring the safety risks when those rules are ignored.

The settlement is expected to reinforce oversight of child labor compliance at Walmart stores statewide and serve as a warning to other employers. Advocates for workers' rights have long argued that weak enforcement allows large corporations to profit from lax safety standards, and the Shapiro administration framed the penalty as a message that violations will carry significant costs.

The $7.68 million in administrative penalties is separate from the earlier fines and brings the total amount Walmart will pay to resolve the matter to nearly $7.83 million.