American retail giant Costco (COST) - Get Report has ceased doing business with a California trucking company that has been accused of placing its drivers in debt and then forcing them to work overtime to pay it off, USA Today reports.
The move to drop Pacific 9 transportation by Costco is said to be the result of a USA Today Network investigation in June exposing widespread labor abuses. The news outlet's investigation led members of Congress to send letters to several retailers to dispel "shameful" labor practices.
As a result, Costco has now stopped doing business with the company and caused Hewlett-Packard Incorporated to launch a probe into its labor practices.
Shares of Costco were climbing nearly 1% in afternoon trading on Tuesday.
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