California Garment Industry Bond Guide
If you’re operating an apparel manufacturing factory in California, you’ll need this surety bond.
Bond Overview
- Purpose: To ensure payment of wages and fringe benefits to garment industry employees
- Who Needs It: Garment industry employers and factory owners
- Regulating Body: The Division of Labor Standards Enforcement
- Required Coverage: $5,000
- Premium Rate: $100–$500, credit-based
Learn all about the bond requirements and process in this guide.
What Is a California Garment Industry Bond?
A California garment industry bond creates financial liability if an apparel factory breaks wage laws or fails to pay fringe benefits. This makes the path to financial recourse easier for claimants.
How Much Do Garment Industry Bonds Cost?
California garment industry bonds cost a small percentage of the coverage amount, typically $100–$500.
Exact rates vary based on personal credit score. Apply for your free quote now!
SuretyBonds.com offers the lowest available rates from our nationwide provider network with no added fees.
Who Needs a Garment Industry Bond?
The Department of Industrial Relations, Division of Labor Standards Enforcement requires this bond as part of the licensing process for garment factory owners in the state.
How Do I Get My Bond?
SuretyBonds.com provides the fastest and easiest way to get a California garment industry bond. Just follow these quick steps:
- Apply: Submit an online quote request form
- Quote: Receive your quote within one day
- Sign: Complete the indemnity agreement
- Buy: Purchase the bond online 24/7
We’ll email you the bond shortly after purchase. Be sure to file it with the Department of Industrial Relations, Division of Labor Standards Enforcement as instructed.
If you have any questions, call our friendly surety experts at 1 (800) 308-4358 for assistance.
How Does a California Garment Industry Bond Work?
A garment industry bond creates a legal contract between these three parties:
- Principal: You, the garment factory owner(s) filing the bond
- Obligee: The Department of Industrial Relations, Division of Labor Standards Enforcement requiring the bond
- Surety: The provider issuing the bond
This holds you financially responsible for upholding the provisions of the Garment Worker Protection Act and California wage laws.
If you break the bond terms, harmed parties can file claims. The surety will pay valid claims up to the bond amount, but you must ultimately refund the surety.
How Do I Renew My Bond?
These bonds expire annually. To renew your garment industry bond, simply pay your renewal invoice when prompted.
We’ll begin contacting you by phone and email 90 days before the expiration date.