Jon and Kate Plus 8

Pennsylvania authorities will not prosecute Jon & Kate Plus 8 producers, despite ruling that child-labor permits should have been obtained for the children appearing on the show.

"Based on the investigation, we did not obtain any evidence that there were any transgressions in the treatment of the children under the child-labor law," Pennsylvania Department of Labor & Industry spokesman Troy Thompson told TVGuide.com, "but we still conclude that the child-labor permits were required under the labor law."

Jon & Kate investigated by child labor law officials

Under the agreement, at least 15 percent of gross proceeds from Jon & Kate Plus 8 and any future shows featuring the Gosselin children will be placed in trust accounts until the children turn 18 or unless needed for their safety, education, welfare and health, Thompson said. 

And child-labor permits must be obtained before the children appear in any future programming filmed in the state, Thompson added.

Kate Gosselin: I was too tough on Jon

TLC issued a statement following Wednesday's ruling: "The welfare of and respect for anyone on our network is always paramount; and these allegations are either completely inaccurate or a distorted representation for maximum attention."

The statement also said the cable channel has and will continue to comply with all state labor regulations.

TLC spokeswoman Laurie Goldberg told The Associated Press that a trust fund had been established in November with more than the minimum 15 percent. TLC, as well as Figure 8 Films, Discovery Talent Services and the Gosselins have agreed to get the child-labor permits even though the companies maintain they are not required under Pennsylvania law, Goldberg told the AP.

TLC adds a Twist of Kate Gosselin

The state's labor department began an investigation following several complaints from the public dating back to late 2008.

Also on Wednesday, Kate Gosselin's estranged brother, Kevin Kreider, testified at a hearing on reforming the state's child-labor laws, according to the AP.

He said that children in scripted TV programming are legally protected in ways that children on reality TV are not. He also said his nieces and nephews' potty training is now available on DVD and that the children were once falsely told it was Christmas in order to get a reaction from them.

Jon & Kate Plus 8 ended in November after five seasons. Besides Twist of Kate, TLC plans to film a series of Kate Plus 8 specials this summer, focusing on Kate's life as a single mother after her and Jon Gosselin's divorce.