WASHINGTON, DC – The U.S. Department of Labor has extended the application submission deadline for its Excellence in Disability Inclusion (EDI) Awards to November 1. Employers who have already submitted an application may update it if desired.

The EDI Awards will recognize federal contractors who excel in this regard through two levels of recognition:

• Up to four (two large and two small) federal contractors will receive a "Gold Award" and three-year moratorium on the Department's Office of Federal Contract Compliance Programs (OFCCP) compliance evaluations. These awardees will also participate in a post-award "Year of Engagement" program to help educate other federal contractors on best practices for disability inclusion.
• Up to 20 additional federal contractors will receive recognition as "Pacesetters." These awardees will not receive a moratorium on OFCCP compliance evaluations.  

The EDI Awards are sponsored jointly by OFCCP and the Department's Office of Disability Employment Policy. For more information, including eligibility criteria, see dol.gov/ediaward.

Federal contractors covered under Section 503 of the Rehabilitation Act have the responsibility to treat all qualified job applicants and workers equally and fairly, without regard to disability. Federal contractors also have the responsibility to take proactive steps to recruit, hire, retain, and advance qualified applicants with disabilities under Section 503 of the Rehabilitation Act.

The mission of the Department of Labor is to foster, promote, and develop the welfare of the wage earners, job seekers, and retirees of the United States; improve working conditions; advance opportunities for profitable employment; and assure work-related benefits and rights.

PHILADELPHIA, PA – After a lawsuit filed by the U.S. Department of Labor, federal contractor Cintas Corp. – based in Cincinnati, Ohio – has agreed to pay $424,463 in back pay and interest to resolve hiring and pay discrimination allegations against 197 applicants and employees.

The lawsuit, filed in January 2017, alleged the company violated Executive Order 11246 provisions against hiring and compensation discrimination. The Department’s Office of Federal Contract Compliance Programs (OFCCP) claimed that Cintas Corp. discriminated against female production workers with regard to their compensation, and discriminated against black and male applicants for garment inspector/hanger positions and against minority applicants for service sales representative positions since September 2011.

Under the consent decree, Cintas Corp. is required to pay $354,463 in back pay and interest to the compensation class members and $70,000 in back pay and interest to the hiring class members. In addition to paying back wages and interest, the settlement requires the company to provide job opportunities to two eligible applicants, revise and monitor its hiring and compensation processes, and provide updates to OFCCP on its compliance with Executive Order 11246.

“Companies that accept federal contracts must ensure that their employment practices do not discriminate,” said Office of Federal Contract Compliance Programs Regional Director Michele Hodge, in Philadelphia, Pennsylvania.

“This settlement goes a long way in making the discriminated applicants and employees whole. It also sends a clear message to all federal contractors of the serious costs of discrimination in any form,” said Oscar L. Hampton III, Regional Solicitor in Philadelphia.

As a result of concurrent OFCCP compliance evaluations at five other Cintas Corp. establishments, OFCCP also signed a corporate-wide conciliation agreement with Cintas Corp. The agreement provides back pay of $190,000 and interest of $34,984.64 plus hiring commitments to 205 female applicants to the highest paid positions in the production department. As part of the Early Resolution Compliance Agreement, Cintas Corp. has committed to enhance employment opportunities for female workers proactively. Cintas will contract with a third-party consultant to review its outreach, hiring, placement, and compensation policies related to both production and operative workers and report the results to OFCCP over a 5-year period.

Cintas Corp. provides uniform and apparel, facility services, commercial services, first aid, fire protection, document management, and operates more than 430 facilities worldwide. Cintas Corp.’s facility #425 in Philadelphia focuses on the rental, cleaning, and embroidery of uniforms and apparel. The conciliation agreement relates to reviews conducted at the following rental facilities: Location #62 in Piscataway, New Jersey; Location #111 in Union, New Jersey; Location #780 in Central Islip, New York; Location #756 in Cumberland/Providence, Rhode Island; and Location #543 in Lafayette, Louisiana.

In addition to Executive Order 11246, OFCCP enforces Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans’ Readjustment Assistance Act of 1974. These laws, as amended, make it illegal for contractors and subcontractors doing business with the federal government to discriminate in employment on the basis of race, color, religion, sex, sexual orientation, gender identity, national origin, disability, or status as a protected veteran. In addition, contractors and subcontractors are prohibited from discriminating against applicants or employees because they have inquired about, discussed, or disclosed their compensation or the compensation of others subject to certain limitations. For more information, please call OFCCP’s toll-free helpline at 800-397-6251 or visit https://www.dol.gov/ofccp/.

The mission of the Department of Labor is to foster, promote, and develop the welfare of the wage earners, job seekers, and retirees of the United States; improve working conditions; advance opportunities for profitable employment; and assure work-related benefits and rights.

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Editor’s note:  This release has been updated to more accurately describe the class members.

WASHINGTON, DC – The U.S. Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP) announced a Notice of Proposed Rulemaking intended to clarify the civil rights protections afforded to religious organizations that contract with the federal government. The proposed rule ensures that conscience and religious freedom are given the broadest protection permitted by law. The proposed rule is currently available for public inspection and will be published in the Federal Register tomorrow, August 15, 2019.

The proposed rule is rooted in statute, Supreme Court decisions, and Executive Orders. The Civil Rights Act of 1964 includes a critical, protective exemption for religious organizations. A similar exemption is included in Executive Order 11246 and OFCCP’s regulations, which govern certain employment practices of federal contractors. Recent Supreme Court decisions - Masterpiece Cakeshop v. Colorado Civil Rights Commission, Trinity Lutheran Church v. Comer, and Burwell v. Hobby Lobby Stores - further address the protections afforded religious organizations and individuals under the Constitution and federal law. Executive Orders 13798, Promoting Free Speech and Religious Liberty, and 13831, Establishment of a White House Faith and Opportunity Initiative, along with U.S. Department of Justice guidance, likewise instruct federal agencies to protect religious exercise and not impede it.

In keeping with that rich history, the proposed rule would clarify that religious organizations may make employment decisions consistent with their sincerely held religious tenets and beliefs without fear of sanction by the federal government. The proposal also reaffirms employers’ obligations not to discriminate on the basis of race, sex, or other protected bases and does not exempt or excuse a contractor from complying with any other requirements.

“Today’s proposed rule helps to ensure the civil rights of religious employers are protected,” Acting U.S. Secretary of Labor Patrick Pizzella remarked. “As people of faith with deeply held religious beliefs are making decisions on whether to participate in federal contracting, they deserve clear understanding of their obligations and protections under the law.” 

Office of Federal Contract Compliance Programs Director Craig Leen said, “OFCCP is consistently looking for ways to bring clarity and certainty to federal contractors, and this proposal falls squarely within that effort. The rulemaking process allows the public opportunity to comment on the proposal and impact any potential final rule.”

Consistent with the President’s policy to enforce the robust protections for religious freedom found in federal law, the proposed rule states that it should be construed to provide the broadest protection of religious exercise recognized by the Constitution and other laws, such as the Religious Freedom Restoration Act.

Comments must be submitted electronically at http://www.regulations.gov, the Federal eRulemaking Portal by facsimile or mail. See the Federal Register notice for submission details. Comments must be submitted by September 16, 2019.  

OFCCP is a civil rights agency in the U.S. Department of Labor. It enforces Executive Order 11246, Section 503 of the Rehabilitation Act of 1973, and the Vietnam Era Veterans’ Readjustment Assistance Act of 1974. Collectively, these laws prohibit federal contractors and subcontractors from discriminating on the basis of race, color, religion, sex, sexual orientation, gender identity, national origin, disability or status as a protected veteran. Additionally, contractors must act affirmatively to ensure equal employment opportunity in their employment processes, and they must not discriminate against applicants or employees because they inquire about, discuss, or disclose their compensation or that of others, subject to certain limitations.

The mission of the Department of Labor is to foster, promote, and develop the welfare of the wage earners, job seekers, and retirees of the United States; improve working conditions; advance opportunities for profitable employment; and assure work-related benefits and rights.

PORTLAND, OR – The U.S. Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP) and Conduent Commercial Solutions LLC – formerly CSG Xerox World – have entered into a conciliation agreement by which the federal contractor has agreed to pay $175,000 in back wages to resolve claims of systemic hiring discrimination at its Portland, Oregon facility.

During a routine compliance evaluation, OFCCP alleged that in 2012, Conduent Commercial Solutions LLC discriminated against 1,121 female, African American and Asian applicants in the customer care assistant position. OFCCP determined that the company’s hiring practices violated Executive Order 11246, which prohibits federal contractors from discriminating in employment based on race, color, religion, sex, sexual orientation, gender identify, or national origin. In its conciliation agreement with OFCCP, in addition to back wages, the company will make 138 job offers to original applicants as positions become available and ensure that its personnel and hiring practices comply with equal employment opportunity laws and regulations.

“Federal contractors and subcontractors are obligated to provide equal opportunity to all applicants, regardless of their sex and race,” said Regional Director Jane Suhr, in San Francisco, California. “The U.S. Department of Labor will vigorously enforce antidiscrimination laws and hold federal contractors accountable in ensuring equal employment opportunity at their facilities.”

Conduent Commercial Solutions LLC is a technology-led company that provides services and products to federal agencies, including the General Services Administration. The company is based in Florham Park, New Jersey.

In addition to Executive Order 11246, OFCCP enforces Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans' Readjustment Assistance Act of 1974. These laws, as amended, make it illegal for contractors and subcontractors doing business with the federal government to discriminate in employment because of race, color, religion, sex, sexual orientation, gender identity, national origin, disability, or status as a protected veteran. In addition, contractors and subcontractors are prohibited from discriminating against applicants or employees because they have inquired about, discussed, or disclosed their compensation or the compensation of others subject to certain limitations. For more information, please call OFCCP's toll-free helpline at 800-397-6251 or visit https://www.dol.gov/ofccp/.

If you think you may be one of the applicants eligible for back pay or job opportunities from this settlement, or may know someone who is, please visit the OFCCP Class Member Locator at: https://www.dol.gov/ofccp/CML. There you will find information about this and other OFCCP settlements.

WASHINGTON, DC – Today, the U.S. Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP) launched the Contractor Assistance Portal, an online help desk to provide enhanced compliance assistance to federal contractors and stakeholders. The virtual online helpdesk is part of a broad push by the U.S. Department of Labor to provide innovative compliance assistance to job creators.

After a series of town halls in 2017, OFCCP committed to developing an online helpdesk resource. OFCCP then further committed to establishing an online help desk in Directive No. 2019-03.  Today, the Agency made good on these commitments.

“OFCCP is committed to transparency in the Agency’s enforcement practices and providing more certainty to federal contractors,” said Acting Secretary of Labor Patrick Pizzella.

“We are very excited to launch the Contractor Assistance Portal so the Office of Federal Contract Compliance Programs can provide more access to compliance assistance resources,” said OFCCP Director Craig E. Leen. “We want federal contractors to use this tool to ask questions and search answers regarding compliance with the laws and regulations enforced by OFCCP.”

The Contractor Assistance Portal is a compliance assistance resource produced in coordination with the U.S. Department of Labor’s Office of Compliance Initiatives that allows users to ask questions freely and access helpful reference materials.  

OFCCP is a civil rights agency in the U.S. Department of Labor. It enforces Executive Order 11246, Section 503 of the Rehabilitation Act of 1973, and the Vietnam Era Veterans’ Readjustment Assistance Act of 1974. Collectively, these laws prohibit federal contractors and subcontractors from discriminating on the basis of race, color, religion, sex, sexual orientation, gender identity, national origin, disability or status as a protected veteran. Additionally, contractors must act affirmatively to ensure equal employment opportunity in their employment processes, and they must not discriminate against applicants or employees because they inquire about, discuss, or disclose their compensation or that of others, subject to certain limitations. For more information, please call OFCCP’s toll-free helpline at 800-397-6251 or visit http://www.dol.gov/ofccp/.

The mission of the Department of Labor is to foster, promote, and develop the welfare of the wage earners, job seekers, and retirees of the United States; improve working conditions; advance opportunities for profitable employment; and assure work-related benefits and rights.

WASHINGTON, DC - The U.S. Department of Labor has announced the appointment of the Department’s Office of Federal Contract Compliance Programs (OFCCP) Ombudsman, Marcus Stergio. OFCCP first announced its plan to implement an Ombudsman in September 2018 in Directive (DIR 2018-09).

The Ombudsman will work with a variety of OFCCP stakeholders nationwide, including federal contractors and subcontractors, contractor representatives, industry groups, law firms, complainants, worker rights organizations, and current and potential employees of federal contractors and subcontractors. The new Ombudsman will also provide assurance to contractors and other stakeholders that OFCCP is treating them fairly, in a manner consistent with the Agency’s legal authorities, policies, and procedures. It is also intended to improve the efficiency and effectiveness of internal OFCCP operations.

“The Ombudsman fits squarely within the Office of Federal Contract Compliance Programs’ broader initiative to improve transparency in our compliance evaluation and compliance assistance activities,” said OFCCP Director Craig E. Leen. “The Ombudsman will provide an independent perspective and facilitate communication between external stakeholders and OFCCP regional and district offices.”

Stergio has previously served as the primary administrator of the dispute resolution process for a number of multi-national organizations, companies and institutions. He received his Master’s degree in conflict resolution from the University of Massachusetts, Boston and his Bachelor’s degree from Northeastern University. Stergio also took part in Harvard Law School’s Program on Negotiation and Dispute Resolution in 2013.

OFCCP enforces federal laws that prohibit federal contractors and subcontractors from discriminating on the basis of race, color, religion, sex, sexual orientation, gender identity, national origin, disability or status as a protected veteran. In addition, contractors and subcontractors are prohibited from discriminating against applicants or employees because they inquire about, discuss, or disclose their compensation or that of others, subject to certain limitations.

The mission of the Department of Labor is to foster, promote, and develop the welfare of the wage earners, job seekers, and retirees of the United States; improve working conditions; advance opportunities for profitable employment; and assure work-related benefits and rights.

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Editor’s note: This news release was changed to clarify Stergio’s educational background.

ATLANTA, GA – US Foods Inc. – a food service distributor based in Rosemont, Illinois – has entered into an early resolution conciliation agreement to pay $116,600 in back wages and interest to resolve alleged hiring discrimination violations found at three of the company’s facilities during a compliance evaluation by the U.S. Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP). The company has also agreed to make job offers to 10 eligible applicants. 

OFCCP alleged that US Foods Inc. discriminated in its hiring and selection process against 150 women who applied for selector positions in Lexington, South Carolina; Port Orange, Florida; and Tampa, Florida. Under the agreement, US Foods Inc. will monitor hiring practices at its Lexington, Port Orange, and Tampa facilities and its locations in Fort Mill, South Carolina; Zebulon, North Carolina; and Manassas, Virginia. Additionally, for a five-year period, the food distributor will take steps to enhance their compliance with Executive Order 11246 for these six facilities, retain a consultant to evaluate the policies and procedures related to hiring processes for selector positions, and work to increase the representation of women at the facilities the agreement covers. The company will also evaluate procedures to recruit, screen, interview, select, reject, and hire selectors.

“This resolution will further the goal of equal employment opportunity by partnering with the U.S. Department of Labor,” said Office of Federal Contract Compliance Programs’ Southeast Regional Director Samuel B. Maiden, in Atlanta, Georgia.  

In November 2018, OFCCP launched an effort to resolve supply and service compliance evaluations at the earliest stage possible with corporate-wide compliance and issued a directive establishing Early Resolution Procedures. This agreement with US Foods is the Agency’s first under the directive.

In addition to Executive Order 11246, OFCCP enforces Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans' Readjustment Assistance Act of 1974. These laws, as amended, make it illegal for contractors and subcontractors doing business with the federal government to discriminate in employment because of race, color, religion, sex, sexual orientation, gender identity, national origin, disability, or status as a protected veteran. In addition, contractors and subcontractors are prohibited from discriminating against applicants or employees because they have inquired about, discussed, or disclosed their compensation or the compensation of others subject to certain limitations. For more information, please call OFCCP's toll-free helpline at 800-397-6251 or visit https://www.dol.gov/ofccp/.

The mission of the Department of Labor is to foster, promote, and develop the welfare of the wage earners, job seekers, and retirees of the United States; improve working conditions; advance opportunities for profitable employment; and assure work-related benefits and rights.

LINTHICUM, MD - After an investigation by the U.S. Department of Labor's Office of Federal Contract Compliance Programs (OFCCP), an Administrative Law Judge (ALJ) in the Department's Office of Administrative Law Judges has ordered Enterprise RAC Company of Baltimore LLC to pay $6,645,444 in lost earnings and benefits to 2,336 African-American applicants for the company's management trainee program.

The ALJ found that the Linthicum, Maryland-based federal contractor had engaged in a pattern and practice of discriminating against African-American applicants for these entry-level management jobs in the Baltimore area over a ten-year period.

The more than $6.6 million recovery represents the largest back wage award in the history of the Department's Office of Federal Contract Compliance Programs (OFCCP).

The order found that Enterprise violated Executive Order 11246 by discriminating against African-American applicants in favor of white applicants for its management trainee program from August 1, 2007 through July 31, 2012, and from August 1, 2013 through July 31, 2017.

The ALJ ordered Enterprise RAC Company of Baltimore LLC to pay back wages with benefits and interest updated to the present, which will be at least $7.2 million. The judge also ordered Enterprise to extend job offers to 182 of the 2,336 rejected African-American applicants by July 31, 2021, including pay as if they had been hired at the time of their rejection. The value of these 182 new hires will be at least $9.1 million. The total recovery in earnings, benefits and interest will be at least $16.3 million.

"The judge's order stands for fairness in employment, and sends a clear message of the serious costs of hiring discrimination," said Oscar L. Hampton III, the Department's Regional Solicitor in Philadelphia.

Additionally, based on Enterprise RAC Company of Baltimore LLC's years-long discriminatory hiring practices, the judge ordered the indefinite debarment of Enterprise RAC Company of Baltimore LLC from current and future government contracts until it agrees to implement specific steps to address the effects of past discrimination and prevent it from occurring in the future. The ALJ based the debarment ruling in part on internal audits conducted by Enterprise RAC Company of Baltimore LLC that showed its hiring practices had an ongoing disparate impact on minority applicants since 2007, and the company's decision to take no steps to address that pattern and practice of racial discrimination.

"OFCCP remains committed to enforcing laws that forbid hiring discrimination. Government contractors must monitor their hiring process to ensure that applicants are not rejected based on discrimination or biases. When an employer like Enterprise finds that it's hiring process are discriminatory, that employer must make corrections to its process to ensure equal employment opportunity for all applicants," said Michele Hodge, the Regional Director for OFCCP in Philadelphia.

In addition to Executive Order 11246, OFCCP enforces Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans' Readjustment Assistance Act of 1974. These laws, as amended, make it illegal for contractors and subcontractors doing business with the federal government to discriminate in employment because of race, color, religion, sex, sexual orientation, gender identity, national origin, disability, or status as a protected veteran. In addition, contractors and subcontractors are prohibited from discriminating against applicants or employees because they have inquired about, discussed, or disclosed their compensation or the compensation of others subject to certain limitations. For more information, please call OFCCP's toll-free helpline at 800-397-6251 or visit https://www.dol.gov/ofccp/.

OFCCP protects workers, promotes diversity and enforces the law. OFCCP holds those who do business with the federal government (contractors and subcontractors) responsible for complying with the legal requirement to take affirmative action and not discriminate on the basis of race, color, sex, sexual orientation, gender identity, religion, national origin, disability, or status as a protected veteran. In addition, contractors and subcontractors are prohibited from discharging or otherwise discriminating against applicants or employees who inquire about, discuss or disclose their compensation or that of others, subject to certain limitations.

WASHINGTON, DC – The U.S. Department of Labor's Office of Federal Contract Compliance Programs (OFCCP) today released an opinion letter and FAQs to further the Department's efforts to increase the transparency and effectiveness of compliance assistance to help contractors meet their responsibilities for equal employment opportunity.

OFCCP's latest FAQs cover the Functional Affirmative Action Program (FAAP) recently reauthorized by the Office of Management and Budget, and an accompanying revised directive regarding FAAPs.  These FAQs provide further clarity on definitions related to FAAPs, as well as the application and maintenance of FAAP agreements. The Agency also issued an opinion letter clarifying whether recipients of revenue disbursed from the Federal Communications Commission's Universal Service Fund (USF) are federal contractors.

"The changes to the June 20, 2019, directive improve the application process for Functional Affirmative Action Program agreements and ease burdens associated with maintaining agreements. Contractors should review their business models and consider FAAPs as an alternative to the establishment-based affirmative action program structure. The Office of Federal Contract Compliance Programs is also pleased to issue its third opinion letter, continuing its commitment to providing more guidance and certainty to the stakeholder community," said Office of Federal Contract Compliance Programs Director Craig E. Leen.

OFCCP is a civil rights agency in the U.S. Department of Labor. It enforces Executive Order 11246, Section 503 of the Rehabilitation Act of 1973, and the Vietnam Era Veterans' Readjustment Assistance Act of 1974. Collectively, these laws prohibit federal contractors and subcontractors from discriminating on the basis of race, color, religion, sex, sexual orientation, gender identity, national origin, disability, or status as a protected veteran. Additionally, contractors must act affirmatively to ensure equal employment opportunity in their employment processes, and they must not discriminate against applicants or employees because they inquire about, discuss, or disclose their compensation or that of others, subject to certain limitations. For more information, please call OFCCP's toll-free helpline at 800-397-6251 or visit http://www.dol.gov/ofccp/.

PASCAGOULA, MS – Huntington Ingalls Industries Inc. – a military shipbuilder and federal contactor based in Newport News, Virginia – has agreed to pay $159,050 in back wages and interest to resolve alleged systemic hiring discrimination violations found in a routine compliance evaluation by the U.S. Department of Labor's Office of Federal Contract Compliance Programs (OFCCP). The company has also agreed to make job offers to six eligible class members who express an interest in employment and meet qualifications.

OFCCP alleged that, beginning in 2011, Huntington Ingalls Inc. discriminated in its hiring and selection process against 80 African-Americans who applied for helper laborer positions at its Pascagoula, Mississippi, shipyard. Investigators also found the company used a pipefitter helper assessment as a prerequisite for continuing in the hiring process. Huntington Ingalls Inc. used the assessment even though it was not supported by a validation study that satisfies the requirements of the Uniform Guidelines on Employee Selection Procedures.

To ensure future compliance, the company will evaluate and revise its job descriptions, as necessary. Huntington Ingalls will ensure that it trains personnel involved with hiring and selection processes to safeguard non-discriminatory practices.

"Employers must monitor their hiring process to ensure applicants are not rejected based on unlawful practices," said Office of Federal Contract Compliance Programs' Southeast Regional Director Samuel B. Maiden, in Atlanta, Georgia.

In addition to Executive Order 11246, OFCCP enforces Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans' Readjustment Assistance Act of 1974. These laws, as amended, make it illegal for contractors and subcontractors doing business with the federal government to discriminate in employment because of race, color, religion, sex, sexual orientation, gender identity, national origin, disability, or status as a protected veteran. In addition, contractors and subcontractors are prohibited from discriminating against applicants or employees because they have inquired about, discussed, or disclosed their compensation or the compensation of others subject to certain limitations. For more information, please call OFCCP's toll-free helpline at 800-397-6251 or visit https://www.dol.gov/ofccp/.