MOUNTAINSIDE, N.J. — The U.S. Department of Labor's Office of Federal Contract Compliance Programs today announced that federal contractor Cream-O-Land Dairy Inc. has resolved claims of sex and race discrimination affecting 227 workers who applied for jobs at the company's dairy plant in Florence, N.J. An OFCCP review of the facility determined that the dairy company used a hiring process that violated Executive Order 11246 because it discriminated against women, African Americans and Asian Americans who applied for warehouse positions in 2010.

"I am pleased that we were able to reach a fair settlement in this case," said OFCCP Director Patricia A. Shiu. "Today's agreement underscores the notion that federal contractors, like Cream-O-Land, should closely examine their employment policies and practices to identify and eliminate any unfair barriers to equal opportunity.

Under the terms of the conciliation agreement, Cream-O-Land will pay $324,288 in back wages, interest and benefits to the rejected applicants. The company will also make 24 job offers to the affected class members as positions become available. Additionally, the company has agreed to undertake extensive self-monitoring measures, including committing a minimum of $10,000 for training to ensure that all of its hiring processes comply with the law.

Cream-O-Land Dairy Inc. delivers dairy products to grocery stores, supermarkets and schools throughout New Jersey, New York, Pennsylvania, Delaware and Connecticut. In Fiscal Year 2012, Cream-O-Land sold more than $1.5 million worth of products to federal agencies such as the Federal Prison System, Department of Veterans Affairs, Defense Commissary Agency, Defense Logistics Agency and Department of the Army.

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/.

DULLES, Va. — The U.S. Department of Labor today announced that federal construction contractor M.C. Dean Inc. has settled allegations that it failed to provide equal employment opportunity to 381 African American, Hispanic and Asian American workers who applied for jobs at the company's Dulles headquarters. A review by the department's Office of Federal Contract Compliance Programs determined that the contractor used a set of selection procedures, including invalid tests, which unfairly kept qualified minority candidates from securing jobs as apprentices and electricians.

"Our nation was built on the principles of fair play and equal opportunity, and artificial barriers that keep workers from securing good jobs violate those principles," said OFCCP Director Patricia A. Shiu. "I am pleased that this settlement will provide remedies to the affected workers and that M.C. Dean has agreed to invest significant resources to improve its hiring practices so that this never happens again."

Under the terms of the agreement, M.C. Dean will pay $875,000 in back wages and interest to 272 African American, 98 Hispanic and 11 Asian American job applicants who were denied employment in 2010. The contractor will also extend 39 job offers to the class members as opportunities become available. Additionally, M.C. Dean has agreed to undertake extensive self-monitoring measures and personnel training to ensure that all of its employment practices fully comply with Executive Order 11246, which prohibits federal contractors and subcontractors from discriminating in employment on the bases of race, color and national origin.

M.C. Dean is a construction, design-build and systems integration corporation with more than 30 offices worldwide. Since 2006, the company has held more than $600 million in contracts with federal agencies, including the U.S. Department of Defense.

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.

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CHARLOTTE, N.C. — U.S. Department of Labor Administrative Law Judge Linda S. Chapman has ordered Bank of America Corp. to pay 1,147 African American job applicants $ 2,181,593 in back wages and interest for race-based hiring discrimination at the company's Charlotte facility. In an earlier ruling, the judge determined that the bank applied unfair and inconsistent selection criteria resulting in the rejection of qualified African American applicants for teller and entry-level clerical and administrative positions. The ruling represents a major victory in a case that has spanned nearly two decades, during which Bank of America repeatedly challenged the authority of the department's Office of Federal Contract Compliance Programs. Bank of America is a federally-insured financial institution that provides a variety services and products, making it a federal contractor under the purview of OFCCP's regulatory requirements.

"Wherever doors of opportunity are unfairly closed to workers, we will be there to open them — no matter how long it takes," said OFCCP Director Patricia A. Shiu. "Judge Chapman's decision upholds the legal principle of making victims of discrimination whole, and these workers deserve to get the full measure of what is owed to them."

The ruling awards $964,033 to 1,034 applicants who were rejected for jobs in 1993 and $1,217,560 to 113 individuals who were rejected between 2002 and 2005. It further orders Bank of America to extend job offers, with appropriate seniority, to 10 class members as positions become available. After hearing from experts on both sides, the judge agreed with the government's positions on every issue in dispute. Notably, she rejected the bank's arguments for a lower award on the grounds that they could not take advantage of missing records that they had failed to keep.

On Nov. 24, 1993, OFCCP initiated a routine compliance review that revealed indications of systemic hiring discrimination affecting African American job seekers at the Charlotte facility. After conciliation efforts failed, the Solicitor of Labor in 1997 filed an administrative complaint against the company for violating Executive Order 11246, which prohibits federal contractors from discriminating in employment practices on the basis of race.

"Our investigators and attorneys prevailed despite decades of stalling tactics," said Solicitor of Labor M. Patricia Smith. "This case demonstrates that the department will not be deterred in our pursuit of justice for job seekers."

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, 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/.

WASHINGTON — The U.S. Department of Labor today announced that the Federal Register published two final rules to improve hiring and employment of veterans and for people with disabilities. The rules were first announced Aug. 27, 2013, and more information is available at http://www.dol.gov/opa/media/press/ofccp/OFCCP20131578.htm.

The rules will become effective March 24, 2014, and federal contractors will be required to comply with most of the final rule's requirements by that date. However, some contractors may have additional time to comply with the requirements in subpart C, which relates to affirmative action plans. Contractors with affirmative action plans in place on March 24 may maintain them until the end of their plan year and delay their compliance with the final rule's affirmative action plan requirements until the start of their next plan cycle.

The final rules in the Federal Register can be found at

• https://www.federalregister.gov/articles/2013/09/24/2013-21228/affirmative-action-and-nondiscrimination-obligations-of-contractors-and-subcontractors-regarding
• https://www.federalregister.gov/articles/2013/09/24/2013-21227/affirmative-action-and-nondiscrimination-obligations-of-contractors-and-subcontractors-regarding

Contractors seeking general information or compliance assistance can call OFCCP's toll-free helpline at 800-397-6251 or visit http://www.dol.gov/ofccp/.

BOSTON — The U.S. Department of Labor's Office of Federal Contract Compliance Programs has resolved claims of pay discrimination affecting 78 Hispanic workers employed at the Medtronic Interventional Vascular Inc. manufacturing facility in Danvers, Mass.

In court filings, OFCCP alleged that Medtronic, a federal contractor, discriminated against 78 entry-level Hispanic senior production associates by paying them less than their white counterparts, in violation of Executive Order 11246. OFCCP also filed a consent decree memorializing the settlement with the Labor Department's Office of Administrative Law Judges after the company agreed to resolve the claims.

"Pay discrimination robs workers of the wages they deserve and takes from their families countless opportunities they might have had," said OFCCP Director Patricia A. Shiu. "Because pay discrimination is often hidden from workers, OFCCP's enforcement in this area is essential. I am pleased that we were able to work with Medtronic to finally resolve this case, provide compensation to the affected workers and fix the pay practices that led to this disparity in the first place."

Under the terms of the consent decree, Medtronic will pay the affected workers $290,000 in back wages and interest for pay disparities dating back to April 2008. Furthermore, the company will conduct training on its equal employment opportunity programs for all people involved in making decisions about compensation at the Danvers facility, and ensure that all of their pay practices fully comply with the law.

Medtronic Interventional Vascular Inc. is a wholly-owned subsidiary of Medtronic Inc., based in Minneapolis, Minn. In FY 2012, Medtronic Inc. was awarded more than $33 million in federal contracts to supply medical and surgical equipment as well as laboratory supplies to numerous government agencies, including hospitals associated 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. 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. For more information, please call OFCCP's toll-free helpline at 800-397-6251 or visit http://www.dol.gov/ofccp/.

OFCCP v. Medtronic Inc. and Medtronic Interventional Vascular Inc. Case No. 2013-OFC-0004

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LOS ANGELES — G&K Services Co. has agreed to settle allegations that it discriminated against female laundry workers by steering them into lower-paying positions regardless of their qualifications. The conciliation agreement between the federal contractor's facility located in Santa Fe Springs, Calif., and the department's Office of Federal Contract Compliance Programs resolves this pay discrimination violation, as well as the related finding that the company discriminated against male applicants in hiring.

"The settlement reflects a mutual commitment between the department and the leadership of G&K Services Co. to ensure that qualified workers, irrespective of gender, have a fair shot at competing for good jobs," said OFCCP Director Patricia A. Shiu. "I am pleased by this contractor's willingness to work with us on a proactive strategy to guarantee that all their workers have an equal opportunity to succeed in the workplace."

During a compliance evaluation, OFCCP determined that G&K Services had a practice of assigning laundry workers to different tasks and different pay rates on the basis of gender. Specifically, OFCCP found that between July 1, 2009, and June 30, 2010, female employees who had been hired as general laborers were assigned to "light duty" jobs that paid less than the "heavy duty" jobs involving similar work and qualifications, which the company reserved for men. Denying women access to higher-paying opportunities because of sex stereotyping is a form of pay discrimination in violation of Executive Order 11246. Investigators also found that male applicants were frequently denied the option to compete for a majority of the open laborer opportunities during the review period because the company only considered them for so-called heavy duty work.

Under the terms of the agreement, the contractor will pay $265,983 in back wages to 59 female workers who were steered into the lower paying jobs. G&K Services will also extend to the 59 female class members job offers in the higher-paying laborer positions. In addition, G&K Services will pay $23,968 in back wages to 331 male job applicants who were denied the opportunity to compete for open lower-paying laborer positions and make three job offers. The company has also agreed to undertake extensive self-monitoring measures, and review and revise their hiring and pay practices, to ensure they fully comply with the law.

G&K Services provides textile leasing and renting services to a number of different government agencies, including the Defense Commissary Agency, Bureau of Reclamation and NASA.

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, 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 general information, call OFCCP's toll-free helpline at 800-397-6251 or visit its website at http://www.dol.gov/ofccp/.

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WASHINGTON — The U.S. Department of Labor today announced two final rules to improve hiring and employment of veterans and for people with disabilities. One rule updates requirements under the Vietnam Era Veterans' Readjustment Assistance Act of 1974; the other updates those under Section 503 of the Rehabilitation Act of 1973. For more than 40 years these laws have required federal contractors and subcontractors to affirmatively recruit, hire, train and promote qualified veterans and people with disabilities respectively.

"In a competitive job market, employers need access to the best possible employees," said Secretary of Labor Thomas E. Perez. "These rules make it easier for employers to tap into a large, diverse pool of qualified candidates."

"Strengthening these regulations is an important step toward reducing barriers to real opportunities for veterans and individuals with disabilities," said Patricia A. Shiu, director of the department's Office of Federal Contract Compliance Programs, which enforces both laws.

The VEVRAA rule provides contractors with a quantifiable metric to measure their success in recruiting and employing veterans by requiring contractors to annually adopt a benchmark either based on the national percentage of veterans in the workforce (currently 8 percent), or their own benchmark based on the best available data. The rule strengthens accountability and record-keeping requirements, enabling contractors to assess the effectiveness of their recruitment efforts. It also clarifies job listing and subcontract requirements to facilitate compliance.

The Section 503 rule introduces a hiring goal for federal contractors and subcontractors that 7 percent of each job group in their workforce be qualified individuals with disabilities. The rule also details specific actions contractors must take in the areas of recruitment, training, record keeping and policy dissemination — similar to those that have long been required to promote workplace equality for women and minorities.

The rules will become effective 180 days after their publication in the Federal Register. More information is available at www.dol.gov/ofccp/VEVRAARule/ and www.dol.gov/ofccp/503Rule/.

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. For general information, call OFCCP's toll-free helpline at 800-397-6251 or visit http://www.dol.gov/ofccp/.

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SEATTLE — The U.S. Department of Labor's Office of Federal Contract Compliance Programs announced today that it has entered into a conciliation agreement to resolve allegations of sex discrimination by federal contractor, ResCare HomeCare Spokane. OFCCP investigators determined that ResCare's selection process violated Executive Order 11246 because it led to systemic hiring discrimination affecting men who applied for in-home care positions between June 2009 and May 2010. The investigation concluded that 77 male job applicants were denied full consideration during the hiring process.

"When we tell our daughters that there are no limits to what jobs they can pursue, we should be mindful that those same aspirations apply to our sons," said OFCCP Director Patricia A. Shiu. "Outdated stereotypes about women being better suited to caregiving jobs than men perpetuate unlawful and unfair sex discrimination. At OFCCP, we are committed to combating sex stereotyping whenever it gets in the way of equal employment opportunities for qualified workers."

Though ResCare officials asserted that most of their clients are women and requested female caregivers, the company had no evidence to support this. An overwhelming majority of client care plans contained no gender preference, and when OFCCP contacted a sample of these clients to ask whether they had a gender preference for their caregiver, nearly half of the female clients indicated that they had no gender preference.

Under the terms of the agreement, the company will pay a total of $92,059 in back pay and interest to 77 rejected male applicants. ResCare has also agreed to hire eight members of the affected class as in-home care positions become available. Additionally, the federal contractor agreed to immediately correct any discriminatory practices and undertake extensive self-monitoring measures to ensure that all compensation practices fully comply with the law.

ResCare provides homecare services and in-home senior care, including nursing, therapy, personal care, Alzheimer and dementia care, homemaking, companionship and other services. The Spokane facility is a part of ResCare Inc., based in Louisville, Ky., and it holds approximately $100 million in contracts with the Labor Department's Employment and Training Administration to operate 15 Job Corps centers across the country and is the program's second largest center operator in the nation.

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, 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/.

WASHINGTON, D.C. — The U.S. Department of Labor today announced that federal contractor L&M Construction has agreed to settle allegations that it permitted sexual harassment, retaliated against workers who complained about a hostile work environment, and interfered with a federal investigation. The conciliation agreement entered into by L&M and the department's Office of Federal Contract Compliance Programs resolves these and numerous other violations of law at the company's construction work sites across the Washington metropolitan area.

In May 2012, OFCCP's Arlington Area Office scheduled L&M Construction for a compliance review. During a workers' outreach forum that month, department officials were alerted to complaints of sexual harassment that included inappropriate touching, lewd acts, sexual gestures, comments and propositions directed at female employees of L&M between May 1, 2011 and April 30, 2012. Upon further investigation, OFCCP compliance officers discovered that the company terminated nine employees for complaining about the hostile work environment created by this harassment and then fired five more workers to prevent them from being interviewed during OFCCP's review. The 14 terminated workers were seven Hispanic men and seven Hispanic women.

"No worker should ever have to put up with degrading and inappropriate behavior in order to keep a job," said OFCCP Director Patricia A. Shiu. "I hope this settlement sends a clear message to federal contractors — and to the men and women who work for them — that OFCCP will not tolerate retaliation against workers who exercise their rights, nor will we tolerate any efforts to interfere with our investigations."

Under the terms of the conciliation agreement, L&M Construction will pay $112,573 in back wages to the 14 terminated workers and will make job offers as opportunities become available. The company has agreed to hire an outside party to evaluate and, if necessary, develop its equal employment opportunity and anti-harassment policies. The contractor has also agreed to undertake extensive self-monitoring measures and training to ensure that all of its employment practices fully comply with Executive Order 11246, which prohibits federal contractors and subcontractors from discriminating in employment decisions on the basis of race, color, religion, sex or national origin.

Based in Capitol Heights, Md., L&M Construction provides environmental remediation and restoration services, including asbestos abatement and removal. The company has held more than $1.4 million in federal contracts with federal agencies including the U.S. Department of Commerce's National Institutes of Standards and Technology, the Social Security Administration, the Federal Bureau of Investigation and the General Services Administration.

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, 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 information, call OFCCP's toll-free helpline at 800-397-6251 or visit http://www.dol.gov/ofccp/.

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