Congress tightens child labor rules, extends liability to successor companies
H.R. 9347 — CHILD Labor Act · Filed by Rosa DeLauro (D-CT) · 24 cosponsors · Introduced Jun 18, 2026 · Referred to committee
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What it does
This bill strengthens federal child labor protections by creating new enforcement tools (tagging of goods, stop-work orders), raising penalties for violations (up to $728,760 per violation causing death/serious injury), extending liability to successor companies, and requiring federal contractors to certify they do not employ children under 16 or use oppressive child labor for ages 16–17. It also mandates training programs and annual reporting on work-related injuries and deaths.
Why we flagged it
The bill's core function is to expand and toughen federal child labor enforcement through higher penalties, successor liability, stop-work authority, and federal contractor requirements. It is substantively a labor-protection measure, not a deregulation or corporate carve-out.
What the text implies
- Successor-in-interest liability may create unintended consequences for legitimate business acquisitions or restructurings if the definition (shared facilities, workers, managing agents, or family ownership) is applied too broadly; companies may face joint liability for violations they did not commit.
- The $20-per-day liquidated damages for federal contractors ($20 × number of children × days worked) could create significant exposure for large construction or service projects; contractors may pass costs to subcontractors, potentially raising project costs.
The full analysis lists 5 implications of this text.
Who stands to gain
labor unions and worker advocacy organizations; plaintiff employment attorneys; federal enforcement agencies (DOL budget/staffing)