Agency Acronym
OFCCP
DOL Search Collections ID
4948

OFCCP News Release: Employers and job seekers invited to participate in Fort Bliss Replacement Hospital Symposium and Job Fair in El Paso, Texas, on March 19, 2014 [01/22/2014]

News Release

Employers and job seekers invited to participate in Fort Bliss Replacement Hospital Symposium and Job Fair in El Paso, Texas, on March 19, 2014

EL PASO, Texas — The U.S. Department of Labor's Office of Federal Contract Compliance Programs and Workforce Solutions Upper Rio Grande are sponsoring the Fort Bliss Replacement Hospital Symposium and Job Fair. Both events will be held in El Paso on March 19. The symposium will be held at the Workforce Solutions Norman Haley Employment Center, 300 E. Main St., from 9 a.m. to 11:30 a.m. The job fair will be held at the El Paso County Coliseum, 4100 E. Paisano St., from 1 p.m. to 6 p.m.

The Army Corps of Engineers awarded Clark/McCarthy Healthcare Partners II a $648 million contract to build the Fort Bliss Replacement Hospital with an estimated completion date of November 2016. This large-scale infrastructure construction project is designed to accommodate population growth in the El Paso area. The symposium will highlight the project's significant economic and employment impact on the community. Notable speakers will include U.S. Rep. Beto O'Rourke and El Paso Mayor Oscar Leeser.

"At OFCCP, our job is to protect workers, promote diversity and enforce the laws, which require companies with federal contracts to provide equal opportunity in the workplace," said OFCCP Southwest and Rocky Mountain Regional Director Melissa L. Speer. "Events like this, which connect local workers with employers, are an important part of achieving those goals and ensuring that taxpayer dollars are used to help create good jobs for all workers."

The Fort Bliss Replacement Hospital has been designated as a mega-construction project by OFCCP. The agency's mega-project designation promotes the goal of ensuring equal opportunity in the skilled trades through effective recruitment and training. In such projects, which must be valued at $25 million or more and expected to last for at least one year, OFCCP brings participants together and ensures ongoing coordination; provides compliance assistance to the prime contractor and subcontractors regarding their affirmative-action obligations; and conducts compliance evaluations. Through this approach, stakeholders share ideas, linkages and resources to ensure equal employment opportunity on the mega-project, including for women, minorities, individuals with disabilities and protected veterans.

This is the first job fair in connection with the Fort Bliss Replacement Hospital mega-project. Participating employers will include the prime contractor, approximately 20 subcontractors and more than 50 other local businesses.

Community leaders, agencies and business representatives interested in attending the free symposium can contact Dinorah S. Boykin at 210-472-5835 or boykin.dinorah@dol.gov Individuals looking for employment and planning to attend the free job fair can register at http://www.urgjobs.com/2014/03/ft-bliss-hospital-job-fair/ or call 915-887-2600. To register as an employer for the fair please contact Lucio Glenn at 915-887-2120 for general questions regarding the job fair please contact 915-887-2600 or 915-887-2016 or joann.munoz@urgjobs.org.

OFCCP enforces Executive Order 11246, Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans' Readjustment Assistance Act of 1974. These three laws require those who do business with the federal government, both contractors and subcontractors, to follow the fair and reasonable standard that they not discriminate in employment on the basis of sex, race, color, religion, national origin, disability or status as a protected veteran. Additional information is available at http://www.dol.gov/ofccp/.

Agency
Office of Federal Contract Compliance Programs
Date
January 22, 2014
Release Number
14-0382-DAL
Media Contact: Juan Rodriguez

OFCCP News Release: Puerto Rico construction contractor settles sexual harassment and discrimination case with US Department of Labor [04/02/2014]

News Release

Puerto Rico construction contractor settles sexual harassment and discrimination case with US Department of Labor

Constructora Santiago to pay $40,000 to three female victims

SAN JUAN, Puerto Rico — Constructora Santiago II Corp., a federal construction contractor in San Juan, Puerto Rico, will make a lump sum payment of $40,000 to three female carpenters who were sexually harassed, retaliated against and denied regular and overtime work hours comparable to those of their male counterparts. The settlement follows an investigation by the U.S. Department of Labor's Office of Federal Contract Compliance Programs.

"No person — male or female — should have to put up with the degrading and inappropriate treatment these women faced just to get a paycheck," said OFCCP Director Patricia A. Shiu. "There's no excuse for that kind of behavior, and it's particularly egregious when the discrimination takes place at work sites funded by taxpayers."

OFCCP investigators reviewed Constructora Santiago's employment practices and determined that the company violated Executive Order 11246 by discriminating against women in compensation and by permitting sexual harassment and retaliation against employees who complained about a hostile work environment.

Additionally, OFCCP found that Constructora Santiago did not provide adequate restroom facilities for female employees. At times, the contractor provided no restrooms for women, and female employees were forced to relieve themselves outdoors, even in the presence of male colleagues. When a restroom was available, it was not separate from the men's restroom and was not clean. Investigators also found that female workers were subjected to unwelcome, sexually charged comments, teasing, jokes and pressure to go out on dates. The conciliation agreement entered into by Constructora Santiago and OFCCP resolves these and numerous other legal violations at the company's construction work sites across Puerto Rico.

Under the terms of the conciliation agreement, the construction company will pay $40,000 to the three female carpenters, provide adequate toilet and changing facilities for them and develop anti-harassment policies. Constructora Santiago has also agreed to undertake extensive self-monitoring measures and training to ensure that its employment practices fully comply with Executive Order 11246, which prohibits federal contractors and subcontractors from discriminating in employment on the basis of race, color, religion, sex or national origin.

Constructora Santiago has built more than $900 million worth of highways and bridges in Puerto Rico, as well as commercial and industrial structures. In January 2012, when OFCCP's review began, the company held a federally assisted contract worth more than $10 million with the Puerto Rico Highway and Transportation Authority.

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 three laws require those who do business with the federal government, both contractors and subcontractors, must follow the fair and reasonable standard that they not discriminate in employment on the basis of sex, race, color, religion, national origin, disability or status as a protected veteran. For more information, visit http://www.dol.gov/ofccp/.

Agency
Office of Federal Contract Compliance Programs
Date
April 2, 2014
Release Number
14-0363-NEW
Media Contact: Ted Fitzgerald
Media Contact: Andre Bowser
Phone Number

OFCCP News Release: Cargill agrees to pay more than $2.2M to settle charges of hiring discrimination brought by US Labor Department [01/22/2014]

News Release

Cargill agrees to pay more than $2.2M to settle charges of hiring discrimination brought by US Labor Department

Company will pay back wages and interest to nearly 3,000 applicants rejected for jobs

WASHINGTON — Cargill Meat Solutions, headquartered in Wichita, Kan., has agreed to settle charges of hiring discrimination based on race and sex with the U.S. Department of Labor's Office of Federal Contract Compliance Programs. Under the agreement, Cargill will pay $2,236,218 in back wages and interest to 2,959 applicants who were rejected for production jobs at facilities in Springdale, Ark.; Fort Morgan, Colo.; and Beardstown, Ill., between 2005 and 2009. The affected workers include: female applicants at Springdale and Fort Morgan, Caucasian and Hispanic applicants at Fort Morgan, and African American and Caucasian applicants at Beardstown.

"This settlement will benefit thousands of workers who were subjected to unfair discrimination," said U.S. Secretary of Labor Thomas E. Perez. "And it demonstrates the Department of Labor's commitment to ensuring that everybody has a fair and equal shot at competing for good jobs."

During a series of scheduled reviews, OFCCP compliance officers found evidence that Cargill's hiring processes and selection procedures at facilities in Arkansas, Colorado and Illinois violated Executive Order 11246 by discriminating on the bases of sex, race and/or ethnicity. The reviews also uncovered violations of the Executive Order's record-keeping requirements. The Department of Labor filed a lawsuit regarding violations at the Springdale facility in November 2011 and this settlement resolves the issues in that complaint as well as the two other reviews.

"Discrimination should never be used to justify favoring one group of workers over others," said OFCCP Director Patricia A. Shiu. "I am pleased that Cargill has agreed to put a proactive strategy in place to address this issue through new hiring procedures and in-depth training on combating stereotypes."

In addition to paying more than $2.2 million in back wages and interest to the affected applicants, Cargill has agreed to extend 354 job offers to the affected workers as positions become available. Additionally, the company has agreed to undertake extensive self-monitoring measures to ensure that all hiring practices fully comply with the law, including record-keeping requirements.

Cargill Meat Solutions, a wholly-owned subsidiary of Minneapolis-based Cargill Inc., distributes beef, pork and turkey products. Since 2005, Cargill has held federal contracts worth more than $1.4 billion.

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 three laws require those who do business with the federal government, contractors and subcontractors, to follow the fair and reasonable standard that they not discriminate in employment on the basis of sex, race, color, religion, national origin, disability or status as a protected veteran. For more information, please call OFCCP's toll-free helpline at 800-397-6251 or visit http://www.dol.gov/ofccp/.

 

Agency
Office of Federal Contract Compliance Programs
Date
January 22, 2014
Release Number
14-0010-NAT
Media Contact: Laura McGinnis
Media Contact: Michael Trupo
Phone Number

OFCCP News Release: Baltimore staffing agency allegedly harassed, discriminated against and allowed assault and abuse of Hispanic employees [06/17/2015]

News Release

Baltimore staffing agency allegedly harassed, discriminated againstand allowed assault and abuse of Hispanic employees

Suit also alleges discrimination against non-Hispanics, intentional underpayment of women

BALTIMORE — A Baltimore staffing agency for federal contractors allegedly hired Hispanic construction laborers, and then harassed and discriminated against them. It also allowed supervisors of other federal contractors to assault them physically, make racial slurs, and threaten them with deportation. The allegations were made in a lawsuit filed by the U.S. Department of Labor's Office of Federal Contract Compliance Programs.

The suit also alleges that WMS Solutions LLC discriminated against non-Hispanic applicants, intentionally paid female workers less per hour than males and assigned fewer work hours to African American, Caucasian and female laborers.

The department alleges that since at least Feb. 1, 2011, WMS favored hiring Hispanic laborers, and that company managers knowingly permitted abusive practices by supervisors at their work sites. In addition to physical and verbal abuse and harassment, supervisors intimidated laborers with videos of detained and deported Hispanic workers. Despite knowing of the illegal harassment, WMS managers took no action to stop it.

"WMS allowed workers it hired to be exploited and abused. It denied job opportunities to qualified workers based on race and ethnicity. It underpaid female workers and assigned fewer work hours based on race and gender," said OFCCP Director Patricia A. Shiu. "We have taken action on behalf of these workers. OFCCP is prepared to use every tool at its disposal to ensure that no federal contractors and subcontractors engage in discrimination or harassment."

OFCCP discovered the company's discriminatory practices in its review to determine WMS' compliance with Executive Order 11246. The order prohibits federal contractors from discriminating on the basis of race, color, religion, sex, sexual orientation, gender identity or national origin. OFCCP filed its complaint with the department's Office of Administrative Law Judges after it did not secure an agreement from WMS to pay back wages and interest to the affected workers; extend job offers to the rejected applicants; and provide a working environment for its employees free of harassment, intimidation and coercion.

WMS is a Baltimore-based company specializing in asbestos removal and demolition. The company provides laborers to federal contractors performing construction work on projects in the Washington, D.C., area. At the time that the alleged discrimination and harassment occurred, the company held federal construction subcontracts totaling more than $6 million for projects involving the General Services Administration, National Institutes of Health and U.S. Department of the Navy.

OFCCP enforces Executive Order 11246, the Vietnam Era Veterans' Readjustment Assistance Act and Section 503 of the Rehabilitation Act of 1973. As amended, these three laws prohibit those doing business with the federal government, both contractors and subcontractors, from discriminating in employment on the basis of sex, race, color, religion, national origin, sexual orientation, gender identity, disability or status as a protected veteran. For general information, call OFCCP's toll-free helpline at 800-397-6251 or visit its website at http://www.dol.gov/ofccp/.

# # #

Perez v. WMS Solutions LLC Docket Number: 2015-OFC-00009

 

Agency
Office of Federal Contract Compliance Programs
Date
June 17, 2015
Release Number
15-1176-PHI
Media Contact: Leni Fortson

OFCCP News Release: Comcast Corporation settles charges of sex and race discrimination [04/30/2015]

News Release

Comcast Corporation settles charges of sex and race discrimination

Company will pay nearly $190K in back wages and interest to 96 former and current female employees and 100 minority job applicants; reform hiring practices

SEATTLEComcast Corporation has entered into a conciliation agreement with the U.S. Department of Labor's Office of Federal Contract Compliance Programs to resolve allegations of sex and race discrimination.

OFCCP investigators determined that between March 2006 and September 2007 in Everett, Washington, Comcast violated Executive Order 11246 by steering 96 women into lower-paying positions that assisted customers with cable services rather than higher-paid positions providing customer assistance for Internet services because these positions were considered "technical."

Investigators also established that Comcast disproportionately rejected 100 African American, Asian, and Hispanic applicants for call center jobs because its hiring tests were neither uniformly applied nor validated as related to the job. This resulted in systemic hiring discrimination on the basis of race. Comcast Corporation is a federal contractor.

"Sex-based compensation discrimination and race-based hiring discrimination are not only illegal, they also hurt our economy," said OFCCP Director Patricia A. Shiu. "We cannot build an economy that works for everyone by depriving women and minorities of opportunities to get ahead."

The notices of violation were issued March 22, 2011. After a lengthy conciliation process, an agreement was reached on April 30, 2015. The agreement requires Comcast to:

  • Pay a total of $53,633.48 in back pay and interest to 96 current and former female employees;
  • Pay $133,366.52 in back pay and interest to 100 African-American, Asian and Hispanic applicants; and
  • Hire up to 31 members of the affected class as call center positions become available, to immediately correct any discriminatory practices, and to undertake self-monitoring measures to ensure that all compensation practices fully comply with the law.

The Comcast Corporation is a global media and technology company. It is also the largest provider of video, high-speed Internet, and phone services to residential customers in the United States. The company also provides these services to business customers and in federal facilities and installations.

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 three laws require those that do business with the federal government, both contractors and subcontractors, to follow the fair and reasonable standard that they not discriminate in employment on the basis of sex, race, color, religion, national origin, sexual orientation, gender identity, disability or status as a protected veteran. For more information, please call OFCCP's toll-free helpline at 800-397-6251 or visit http://www.dol.gov/ofccp/.

Agency
Office of Federal Contract Compliance Programs
Date
April 30, 2015
Release Number
15-0844-SEA
Media Contact: Leo Kay
Phone Number
Media Contact: Jose Carnevali

OFCCP News Release: Oral Arts Laboratory Inc. settles hiring discrimination case with US Department of Labor [05/27/2015]

News Release

Oral Arts Laboratory Inc. settles hiring discrimination case
with US Department of Labor

Huntsville, Alabama, manufacturer will pay $115K in back wages, interest to 159 applicants

HUNTSVILLE, Ala. — Oral Arts Laboratory Inc., a dental lab and manufacturer, will pay $115,000 to resolve allegations of systemic hiring discrimination at its Huntsville corporate headquarters. A compliance review by the U.S. Department of Labor's Office of Federal Contract Compliance Programs found that the federal contractor discriminated against 83 women and 19 African Americans who were denied dental lab technician positions, as well as 57 men who were rejected for shipping positions. Under the agreement, Oral Arts will extend job offers to at least 19 of the original class members as positions become available.

"This agreement underscores the notion that federal contractors, like Oral Arts, should closely examine their employment policies and practices to identify and eliminate unfair barriers to equal opportunity," said OFCCP Director Patricia A. Shiu.

OFCCP investigators found that, from November 2011 to November 2013, Oral Arts used a dexterity test in the selection process for dental lab technicians. This test was used even though it was not supported by a validation study that satisfies the requirements of the Uniform Guidelines on Employee Selection Procedures.

The investigation also uncovered that the company stereotyped shipping positions as female jobs and rejected male applicants. The agency concluded that Oral Arts' hiring process systematically discriminated against women, men and African-American applicants, a violation of Executive Order 11246, which prohibits federal contractors from discriminating in employment on the basis of race or sex. The company has ceased using the tests and revised its selection process to ensure equal opportunity for all applicants.

Oral Arts is a manufacturer of dental prostheses, orthodontic appliances, fixed and removable implants and dentures. A family owned and operated dental lab, Oral Arts in 2014 held more than $2 million in federal contracts with the U.S. Department of Veterans Affairs.

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. As amended, these laws require those who do business with the federal government, both contractors and subcontractors, to follow the fair and reasonable standard that they not discriminate in employment on the basis of sex, race, color, religion, national origin, disability, sexual orientation, gender identity, or status as a protected veteran.

Agency
Office of Federal Contract Compliance Programs
Date
May 27, 2015
Release Number
15-0641-ATL
Media Contact: Michael D'Aquino
Media Contact: Lindsay Williams
Phone Number

OFCCP News Release: Comment period on proposed sex discrimination rule extended [03/27/2015]

News Release

Comment period on proposed sex discrimination rule extended

Supreme Court ruling leads to extension through April 14

WASHINGTON — The U.S. Department of Labor has announced a two-week extension of the comment period for its proposed rule governing the obligations of federal contractors and subcontractors not to discriminate on the basis of sex in their employment practices.

The extension ensures that the public has time to comment on the impact of the U.S. Supreme Court's March 25, 2015, decision in Young v. United Parcel Service. That decision involved application of Title VII of the Civil Rights Act of 1964 to pregnancy discrimination in the workplace. The Labor Department's Office of Federal Contract Compliance Programs follows Title VII principles when enforcing the law against employment discrimination by federal contractors and subcontractors.

OFCCP published a notice of proposed rulemaking in the Federal Register on January 30, 2015, with a March 31 deadline to submit comments. The comment period will be extended through Tuesday, April 14. To read and comment on the proposed rule, please visit http://www.dol.gov/ofccp/SDNPRM/index.html.

OFCCP enforces Executive Order 11246, Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans' Readjustment Assistance Act of 1974. These three laws require contractors and subcontractors that do business with the federal government to follow the fair and reasonable standard that they not discriminate in employment on the basis of sex, race, color, religion, national origin, disability or status as a protected veteran. For more information, please call OFCCP's toll-free helpline at 800-397-6251 or visit http://www.dol.gov/ofccp/.

Agency
Office of Federal Contract Compliance Programs
Date
March 27, 2015
Release Number
15-0541-NAT
Media Contact: Michael Trupo
Phone Number

OFCCP News Release: Johns Hopkins University's Applied Physics Laboratory settles race and sex discrimination case with US Labor Department [01/22/2015]

News Release

Johns Hopkins University's Applied Physics Laboratory settles
race and sex discrimination case with US Labor Department

Two former employees will receive nearly $360K in back wages and damages

BALTIMORE — The Applied Physics Laboratory at Johns Hopkins University will pay $359,253 to settle allegations of discrimination made by two African American women who were employed at its Laurel, Md. facility. An investigation by the U.S. Department of Labor's Office of Federal Contract Compliance Programs determined that the lab violated Executive Order 11246, which prohibits federal contractors from discriminating in employment on the basis of race or sex.

"All workers deserve to be treated fairly, and when they are not, they should be able to report it without fear of being harassed or retaliated against," said OFCCP Director Patricia A. Shiu. "I am pleased that we were able to achieve a fair and just remedy for these two women and to ensure that the laboratory removes barriers to equal opportunity in the workplace."

OFCCP's investigation began in June 2010, after an African American woman filed a complaint alleging that she had been subjected to a hostile work environment at the APL. When she tried to pursue a complaint through the lab's own equal employment opportunity process, she was harassed, retaliated against and, ultimately, fired. During its investigation, OFCCP received a second complaint in November 2010 from another African American woman alleging that she had been subjected to pay discrimination and a hostile work environment at the APL. OFCCP compliance officers found that the lab had indeed discriminated against the two former employees because of their race and because they engaged in protected equal employment opportunity activities.

The investigators also confirmed that the second employee was paid less than her similarly-situated male colleagues, and that the APL had subjected both women to a hostile work environment by retaliating against them for filing EEO complaints and by allowing them to be harassed. This retaliation culminated in the firing of one employee and the resignation of the other.

In addition to significant financial remedies it will pay to the affected women, the APL has agreed to revise its policies and procedures to eliminate harassment, intimidation, coercion or retaliation in its workplace. The lab will also ensure that its internal complaint process is free of undue influence and will post notices in English and Spanish to inform employees of their rights against employment discrimination. Finally, managers and employees with responsibilities for hiring, preparing performance plans, determining compensation or making transfer, promotion, or discharge decisions will be trained on all federal equal employment opportunity laws.

Johns Hopkins University and its associated hospital constitute the largest employer in Maryland. A division of the university, the APL supports national security, space science and other civilian research and development initiatives. From 2009 to 2014, the APL received more than $3.6 billion in taxpayer-funded federal contracts with agencies such as the U.S. Departments of Defense, Commerce and Homeland Security.

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. Collectively, these three laws require contractors and subcontractors that do business with the federal government to prohibit discrimination and ensure equal opportunity in employment on the basis of race, color, religion, national origin, sex, disability and status as a protected veteran. For more information, please call OFCCP's toll-free helpline at 800-397-6251 or visit http://www.dol.gov/ofccp/.

Agency
Office of Federal Contract Compliance Programs
Date
January 22, 2015
Release Number
14-2299-PHI
Media Contact: Joanna Hawkins
Media Contact: Leni Fortson

OFCCP News Release: US Labor Department proposes critical updates to sex discrimination guidelines for federal contractors and subcontractors [01/28/2015]

News Release

US Labor Department proposes critical updates to sex discrimination guidelines for federal contractors and subcontractors

Revisions address discrimination based on gender identity and pregnancy, sexual harassment

WASHINGTON — The U.S. Department of Labor today announced a proposal to clarify federal contractors' requirements to prohibit sex discrimination. The recommended changes would revise the Office of Federal Contract Compliance Programs' guidelines to align with laws, court decisions and societal changes since they were originally issued in 1970.

"Our sex discrimination guidelines are woefully out of date and don't reflect established law or the reality of modern workplaces," said OFCCP Director Patricia A. Shiu. "We owe it to the working women of America — and their families — to fix this regulatory anachronism so there is no confusion about how federal contractors must comply with their equal opportunity obligations."

OFCCP's sex discrimination guidelines implement Executive Order 11246, which prohibits companies with federal contracts and subcontracts from sex discrimination in employment. The proposed rule would update these guidelines to reflect demographic developments such as the increased presence of women in the workplace, as well as legal developments — including a Supreme Court ruling recognizing that a sexually hostile work environment is a form of sex discrimination and the Pregnancy Discrimination Act, which strengthened workplace protections for pregnant women. The agency's notice of proposed rulemaking addresses a variety of barriers to equal opportunity that too many women face in the workplace today, including pay discrimination, sexual harassment, failure to provide workplace accommodations for pregnancy and gender identity and family caregiving discrimination.

"A person's gender should never determine whether or not she gets, keeps or advances in a job," said Latifa Lyles, director of the department's Women's Bureau. "The rule we are proposing will protect workers from losing out on job opportunities because of antiquated stereotypes, nonconformity with gender norms or pregnancy."

The proposed rule will be published in the Federal Register on January 30, and the public will have until March 31 (60 days) to provide comments. More information, including the text of the NPRM, is available at www.dol.gov/ofccp/SDNPRM/.

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. Collectively, these three laws require contractors and subcontractors that do business with the federal government to prohibit discrimination and ensure equal opportunity in employment on the basis of race, color, religion, national origin, sex, disability and status as a protected veteran. For more information, please call OFCCP's toll-free helpline at 800-397-6251 or visit http://www.dol.gov/ofccp/.

Agency
Office of Federal Contract Compliance Programs
Date
January 28, 2015
Release Number
14-2186-NAT
Media Contact: Michael Trupo
Phone Number
Media Contact: Laura McGinnis

OFCCP News Release: Lahey Clinic settles pay discrimination case with US Labor Department [02/12/2015]

News Release

Lahey Clinic settles pay discrimination case with US Labor Department

Massachusetts medical center will pay $190K in back wages, interest and salary adjustments to 38 underpaid female housekeepers

BOSTON — Lahey Clinic Hospital, Inc. will pay $190,000 to resolve allegations of systemic pay discrimination at its medical center in Burlington, Massachusetts. A compliance review by the U.S. Department of Labor's Office of Federal Contract Compliance Programs found that Lahey Clinic discriminated against 38 female housekeepers by paying the women 70 cents less per hour than their male counterparts.

"While 70 cents might not seem like much, over the course of a year it adds up to a $1,500 disparity," said OFCCP Director Patricia A. Shiu, a member of President Obama's National Equal Pay Task Force. "Workers don't often know how their pay compares with that of their colleagues, and discrimination like this is often hidden. That's why OFCCP's ability to audit and review contractors' pay practices is critical to closing the pay gap once and for all."

OFCCP investigators determined that, from 2010 to 2012, the Lahey Clinic failed to pay certain female housekeepers — predominantly Haitian, Creole-speaking African Americans — at the same rate as their male counterparts. Executive Order 11246 mandates that federal contractors like the Lahey Clinic must not discriminate in pay or other forms of compensation on the basis of sex. In its agreement with OFCCP, the Lahey Clinic will pay the affected women $190,000 in lost wages, interest and salary adjustments.

A nonprofit hospital and medical center, the Lahey Clinic has more than 5,300 employees and serves almost 3,000 patients daily. Since 2012, the clinic has received $815,000 in federal contracts from the Health Resources and Services Administration at the U.S. Department of Health and Human Services. In 2009, Lahey paid $136,000 to settle OFCCP's allegations of hiring discrimination affecting 18 minorities — mostly Hispanic and Asian Americans — who applied and were rejected for secretarial positions.

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. Collectively, these three laws require federal contractors and subcontractors to prohibit discrimination and ensure equal opportunity in employment on the basis of race, color, religion, national origin, sex, disability and status as a protected veteran. For more information, please call OFCCP's toll-free helpline at 800-397-6251 or visit http://www.dol.gov/ofccp.

Agency
Office of Federal Contract Compliance Programs
Date
February 12, 2015
Release Number
14-2056-BOS
Media Contact: Ted Fitzgerald
Media Contact: Andre Bowser
Phone Number
Subscribe to Office of Federal Contract Compliance Programs