The holidays are nearly upon us, and that means that millions of parents are facing the annual ordeal of shopping for toys. Along with designating children as naughty or nice, shoppers may want to pay attention to the track record of the companies producing and selling the items that show up on wish lists.
Violation Tracker, the new database of corporate misconduct, can help identify which companies have the worst safety records when it comes to toys and other items for children. Among the agencies from which the database has collected environmental, health and safety enforcement data is the Consumer Product Safety Commission, which pays close attention to hazards in items used by young people.
The CPSC maintains a database of voluntary recalls and sends letters to companies asking for corrective action, but it also imposes civil penalties in cases of egregious violations. The following list, taken from Violation Tracker, shows the companies with the largest CPSC penalties since the beginning of 2010.
Techtronic Industries, headquartered in Hong Kong, was, via its subsidiary One World Technologies, fined $4.3 million for violating CPSC reporting rules in connection with its Baja Motorsports mini-bikes and go-carts. The CPSC said that gas caps on the vehicle could leak or detach from the fuel tank, posing fire and burn hazards, and that sticky throttles could result in sudden acceleration.
Discount clothing retailer Ross Stores was fined $3.9 million in connection with the sale of thousands of children’s garments with neck or waist drawstrings that posed a strangulation risk. The CPSC had previously determined that such garments created a “substantial product hazard.”
Phil & Teds, a manufacturer of strollers and related baby gear, was fined $3.5 million for failing to report that its MeToo clip-on high chair could detach from a table and cause an infant to fall to the ground. If only one side of the high chair detached, a child’s fingers could become crushed between the bar and the clamping mechanism, resulting in amputation. The company had received multiple reports of such accidents, including two amputation cases, but did not report them to the CPSC in a timely manner.
The American subsidiary of Japan’s Daiso Industries was fined $2.05 million and had to stop importing children’s products and toys into the United States. The CPSC had determined that the company was distributing and selling toys with illegal levels of lead content, lead paint and phthalates; toys intended for young children containing small parts that posed choking hazards; and products that lacked required warning labels.
Michigan-based retailer Meijer was fined $2 million for selling a dozen different recalled consumer products, most of which were for children. Among these were SlingRider Baby Slings (risk of suffocation), Refreshing Rings Infant Teethers/Rattles imported by Sassy (ingestion hazard), and the Harmony High Chair manufactured by Graco Children’s Products (fall hazard).
Burlington Coat Factory, owned by Bain Capital, was fined $1.5 million for the same violation as Ross Stores: selling children’s clothing with drawstrings deemed to be a strangulation hazard. Among the garments were hooded jackets and sweatshirts involved in a 2010 recall announced by the CPSC in cooperation with the company. Macy’s was fined $750,000 in another drawstring case.
Spin Master Inc. was fined $1.3 million for failing to reports hazards associated with its product called Aqua Dots, a children’s craft kit and toy that consisted of tiny beads of different colors that stuck together when sprayed with water. According to the CPSC, Spin Master had received reports that children (and a dog) had become ill and received emergency medical treatment after ingesting Aqua Dots, which contained a substance that could damage kidneys and the central nervous system.
Henry Gordy International, a subsidiary of Exx Inc., was fined $1.1 million for failing to report that its toy dart gun sets contained parts that could be inhaled into a child’s throat and cause suffocation. The CPSC also alleged that the company made a material misrepresentation to agency staffers during their investigation.
Violation Tracker data currently goes back only to the beginning of 2010, but toy safety problems began well before that. One perennial problem was the sale of items containing lead or lead paint, especially by the dollar store chains. In 2009 Dollar General was fined $100,00 and Family Dollar (now owned by Dollar Tree) $75,000 as part of a CPSC crackdown on the dangerous practice.
Santa Claus may put lumps of coal in some children’s stockings, but unscrupulous corporations can do a lot worse.