Hilfiger has been criticized for manufacturing clothes in sweatshop conditions in the United States territory of Saipan in the Northern Mariana Islands. As a U.S. Commonwealth, clothes made there can be labeled "Made in the USA", but federal labor laws including the minimum wage do not apply. In March 2000, the company, along with other defendants, settled a class action suit brought by Saipan garment workers, which had alleged mistreatment by over 20 large U.S. clothing manufacturers.
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