California Winery Fined $115,000 for Using Volunteer Workers

Bill Smyth runs Westover Winery in Livermore Valley, CA, as a hobby, and he’s going out of business after being fined $115,000 for using volunteer workers.

Smyth, a retired teacher, said he usually works only about 10 hours a week at the winery, sells about $200,000 worth of wine a year, and nets about $11,000 in income.

The fine, issued by the state of California, was a shock to Smyth and is sobering for wineries all over the state, according to wine-searcher.com. Volunteer workers, particularly at harvest, have long been common in the wine industry.

The Wine Institute warned its members that using unpaid workers can result in severe sanctions, although, so far, no other winery has been fined.

California law does allow unpaid internships when the intern is “learning something valuable,” according to Melton.

Smyth claims that he and the volunteers do what they do for the passion and love of wine. “The volunteers are all professional people. They have their own health insurance.” But Melton says passion and love are not sufficient recompense. Workers must also get minimum wage and worker’s compensation insurance.

Smyth said he used his personal funds to pay the fines for the business. He has contacted his state assembly representative to try to draft a law that would allow other wineries to use volunteer workers, and to have warnings issued in similar cases. But he plans to close up shop at his winery soon.

“I’m fighting cancer right now. That’s my fulltime job,” Smyth said. S