Agency Acronym
OFCCP
DOL Search Collections ID
4948

US Department of Labor, Regus Management Group reach agreement to resolve alleged race- and gender-based hiring discrimination nationwide

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US Department of Labor, Regus Management Group reach agreement to resolve alleged race- and gender-based hiring discrimination nationwide

Employer to pay $900K in back wages, interest to 4,285 Black and male applicants

DALLAS – The U.S. Department of Labor has entered into a conciliation agreement with Regus Management Group LLC, a leading global workspace provider, to resolve allegations of systemic race- and gender-based hiring discrimination at its facilities nationwide.

The agreement follows a routine compliance evaluation by the department’s Office of Federal Contract Compliance Programs that alleged Regus discriminated from Oct. 1, 2016 through June 30, 2018, against Black and male applicants for the position of Community Associate and against Black applicants for the position of Community Manager. The alleged actions violate Executive Order 11246, which prohibits federal contractors from discriminating in employment based race, sex, color, religion, sexual orientation, gender identity or national origin.

Regus Management Group has agreed to pay $900,000 in back wages and interest to 4,285 Black and male applicants. The company will also take steps to ensure its personnel practices – including recordkeeping, internal audits and outreach – meet legal requirements.

“Together, the U.S. Department of Labor and Regus Management Group LLC will ensure that the issues identified in the compliance evaluation are resolved, and that the employer puts measures in place to comply with federal hiring and employment laws,” said Office of Federal Contract Compliance Programs Regional Director Melissa Speer in Dallas.

In addition to paying back wages, Regus agreed to extend job opportunities to 124 affected Black and male applicants throughout its facilities nationwide. During the time of the evaluation, the company had federal contracts with the departments of State and Homeland Security.

Founded in 2004, Regus Management Group LLC is based in Addison and specializes in providing small, private offices and co-working areas. The company is part of the International Workplace Group based in Switzerland.

OFCCP launched the Class Member Locator to identify applicants or workers who may be entitled to monetary relief and/or consideration for job placement as a result of OFCCP’s compliance evaluations and complaint investigations. If you think you may be a class member employed by Regus Management Group LLC, learn more about this and other settlements.

Agency
Office of Federal Contract Compliance Programs
Date
October 4, 2021
Release Number
21-1379-DAL
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux
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Highmark Health subsidiary agrees to pay $410K to resolve alleged compensation discrimination found in federal compliance evaluation

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Highmark Health subsidiary agrees to pay $410K to resolve alleged compensation discrimination found in federal compliance evaluation

PITTSBURGH A Pittsburgh-based company that provides IT support to health plan providers has agreed to pay $410,000 in back pay and interest after a federal compliance evaluation alleged the federal contractor’s pay practices discriminated against 67 employees in the Associate Consultant and Consultant positions.  

In its evaluation, the U.S. Department of Labor’s Office of Federal Contract Compliance Programs found HM Health Solutions, a wholly-owned subsidiary of Highmark Health, allegedly discriminated in base salary compensation of its Black, white, and two or more race employees. OFCCP investigators alleged that HM Health Solutions paid the affected employees less than similarly situated Asian employees who worked in the associate consultant and consultant job title. The actions allegedviolated Executive Order 11246, which prohibits federal contractors from discriminating in employment.  

Federal contractors have a legal obligation to ensure that their compensation practices and policies are free of all forms of discrimination,” said Office of Federal Contract Compliance Programs Acting Regional Director Michele Hodge in Philadelphia.

 Headquartered in Pittsburgh, Pennsylvania, HM Health Solutions is a wholly-owned subsidiary of Highmark Health, The parent company holds federal contracts totaling $127,782. The parent Highmark Health offers a number of health plans as part of the Federal Employee Health Benefits Program through their subsidiaries, Highmark, Inc. and Highmark Blue Cross Blue Shield.

If you think you may be a class member employed by HM Health during the investigative period, use OFCCP’s Class Member Locator to learn more about this and other settlements.  Learn more about OFCCP, or call 800-397-6251. OFCCP enforces Executive Order 11246, Section 503 of the Rehabilitation Act of 1973, and the Vietnam Era Veterans’ Readjustment Assistance Act of 1974.

Agency
Office of Federal Contract Compliance Programs
Date
September 29, 2021
Release Number
21-1692-PHI
Media Contact: Joanna Hawkins
Media Contact: Leni Fortson
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US Department of Labor files complaint against ABM Janitorial Services alleging systemic racial discrimination at Maryland, Virginia offices

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US Department of Labor files complaint against ABM Janitorial Services alleging systemic racial discrimination at Maryland, Virginia offices

BALTIMORE – The U.S. Department of Labor has filed an administrative complaint against ABM Janitorial Services after a compliance evaluation by the department’s Office of Federal Contract Compliance Programs alleged systematic racial discrimination against Black and a smaller number of white applicants for janitorial positions at its Baltimore and Alexandria, Virginia, locations.

Filed on Sept. 15 with the department’s Office of Administrative Law Judges, the complaint alleges that since at least 2015 and continuing to the present, ABM Janitorial Services has discriminated against Black workers for cleaning positions at all three facilities and white workers at one of the facilities. The complaint also alleges that the employer failed to document hiring decisions properly, which masked its discriminatory hiring practices.

OFCCP found ABM’s actions violated Executive Order 11246, which prohibits federal contractors from discriminating in employment based on race, color, religion, sex, national origin, sexual orientation and gender identity. ABM Janitorial Services is a subsidiary of ABM Industries Inc., a large federal contractor.

The department’s complaint seeks an order that would compel ABM Janitorial Services to provide relief to affected workers, and would debar the company from obtaining any new federal contracts if it fails to follow a court order to come into compliance.

“We will work in conjunction with the Office of Federal Contract Compliance Programs to ensure that federal contractors administer their federal contracts without discriminating against applicants and employees,” said U.S. Labor Department Solicitor Seema Nanda. “We will continue to use all available resources to ensure every applicant can seek employment free of discrimination and bias, and when we find evidence of discrimination we will pursue these alleged violations in court.”

“No one should be denied an opportunity to work based on race. The Office of Federal Contract Compliance Programs will vigorously enforce the law to ensure that companies doing business with the federal government meet their equal employment opportunity obligations,” said Office of Federal Contract Compliance Programs Director Jenny R. Yang.

View the complaint.

ABM Industries Inc. provides janitorial, electrical and lighting and other facilities services. It employs more than 100,000 employees in offices throughout the U.S. and internationally.

OFCCP enforces Executive Order 11246, Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans’ Readjustment Assistance Act of 1974.

Agency
Office of Federal Contract Compliance Programs
Date
September 17, 2021
Release Number
21-1702-PHI
Media Contact: Joanna Hawkins
Media Contact: Leni Fortson
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US Department of Labor enters agreement with disposable medical device manufacturer to resolve alleged hiring discrimination in Utah

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US Department of Labor enters agreement with disposable medical device manufacturer to resolve alleged hiring discrimination in Utah

Merit Services Inc. will pay $295K to 1,680 male applicants

SOUTH JORDAN, UT – The U.S. Department of Labor and Merit Services Inc., a manufacturer of disposable medical devices, have entered into a conciliation agreement to resolve allegations of hiring discrimination.

 A compliance evaluation by the department’s Office of Federal Contract Compliance Programs alleged the manufacturer – which supplied the U.S. Navy during the investigative period from Nov. 18, 2011 through Nov. 18, 2013 – discriminated against 1,680 male applicants for Production Operator II positions at its South Jordan facility. Executive Order 11246 prohibits federal contractors from discriminating in employment based on race, color, religion, sex, national origin, sexual orientation and gender identity.

 As part of the conciliation agreement, Merit Services will pay $295,000 in back wages to the applicants and provide Production Operator II job opportunities to 46 of those affected applicants as positions become available in the greater Salt Lake City area. The company will also take steps to ensure its personnel practices, including recordkeeping and internal auditing procedures, meet legal requirements.

 “The U.S. Department of Labor is committed to resolving discrimination issues by working with employers and employees,” said Office of Federal Contract Compliance Programs Southwest and Rocky Mountain Regional Director Melissa Speer in Dallas. “Together, the department and Merit will ensure that this issue is resolved, and that the company has the measures in place to comply with federal hiring and employment law.”

OFCCP recently launched the Class Member Locator. The purpose of the CML is to identify applicants and/or workers who have been impacted by OFCCP’s compliance evaluations and complaint investigations and who may be entitled to a portion of monetary relief and/or consideration for job placement. Learn more about OFCCP and other recent OFCCP settlements.

Agency
Office of Federal Contract Compliance Programs
Date
August 23, 2021
Release Number
21-1154-DEN
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux
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US Department of Labor, Fastenal Co. enter agreement to resolve alleged hiring discrimination at High Point, North Carolina facility

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US Department of Labor, Fastenal Co. enter agreement to resolve alleged hiring discrimination at High Point, North Carolina facility

Federal contractor to pay $168K to 483 female applicants

HIGH POINT, NC – The U.S. Department of Labor and Fastenal Co. have agreed to resolve alleged systemic gender-based hiring discrimination that affected 483 female job applicants at its High Point facility from Dec. 7, 2016 through July 31, 2018.

A routine compliance investigation by the department’s Office of Federal Contract Compliance Programs found the industrial and construction supply distributor violated Executive Order 11246 in its hiring of laborer and helper positions. Fastenal provides services under contract to the Department of the Air Force. 

Fastenal will pay $168,000 in back wages and interest to the affected applicants and make 24 job offers, as positions become available. In its conciliation agreement, the company has also agreed to ensure that its selection process, personnel practices and hiring policies are free from discrimination, and its recordkeeping methods meet legal requirements.

“Federal contractors must ensure that their employment practices do not discriminate on the basis of race, color, religion, sex, sexual orientation, gender identity or national origin,” said Office of Federal Contract Compliance Programs Southeast Regional Director Aida Collins in Atlanta. “By reaching this agreement with the U.S. Department of Labor, Fastenal Co. has demonstrated it is committed to resolving the issues raised and ensuring that measures are in place to provide equal employment opportunities.”

Based in Winona, Minnesota, Fastenal Co. sells and distributes fasteners, tools, safety equipment and janitorial supplies primarily in North America, and in Asia, Europe, and Central and South America. It also has 14 regional distribution centers.

The Office of Federal Contract Compliance Programs enforces Executive Order 11246, Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans’ Readjustment Assistance Act of 1974. For more information, call the Office of Federal Contract Compliance Programs toll-free helpline at 800-397-6251. Learn more about OFCCP.

If you think you may be a class member employed by Fastenal Co., use OFCCP’s Class Member Locator to learn more about this and other settlements. Learn more about OFCCP, or call 800-397-6251.

OFCCP recovered over $116 million for more than 138,000 employees and job seekers who were discriminated against in compliance reviews from October 2016-September 2020.

Agency
Office of Federal Contract Compliance Programs
Date
July 30, 2021
Release Number
21-1383-ATL
Media Contact: Erika Ruthman
Media Contact: Eric R. Lucero
Phone Number
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Blue Cross and Blue Shield of South Carolina enters agreement with US Department of Labor to resolve alleged hiring discrimination

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Blue Cross and Blue Shield of South Carolina enters agreement with US Department of Labor to resolve alleged hiring discrimination

Federal contractor to pay $226K to 117 student program applicants

COLUMBIA, SC – The U.S. Department of Labor’s Office of Federal Contract Compliance Programs and Blue Cross and Blue Shield of South Carolina have entered into a conciliation agreement to resolve allegations that the company systemically discriminated against 117 Black, Hispanic, Asian and multi-racial applicants for a student entry-level training program at its Columbia headquarters.

A routine federal compliance investigation found that – from Sept. 1, 2015 to Aug. 31, 2016 – Blue Cross and Blue Shield of South Carolina failed to comply with Executive Order 11246 that prohibits race discrimination by federal contractors.

Blue Cross and Blue Shield of South Carolina has agreed to pay $226,484 in back wages, interest and benefits to the affected applicants. The company will also make five job offers to original applicants as positions become available, ensure that its selection processes are free from discrimination and provide training to managers and all staff involved in the student program’s hiring process.

“Federal contractors must ensure that their employment policies and practices provide equal employment opportunity regardless of race,” said Office of Federal Contract Compliance Programs Midwest Regional Director Carmen Navarro in Chicago. “The U.S. Department of Labor will hold federal contractors accountable when they fail to provide equal employment opportunities to all.”

If you think you may be a class member employed by Blue Cross Blue Shield of South Carolina, use OFCCP’s Class Member Locator to learn more about this and other settlements. Learn more about OFCCP, or call 800-397-6251.

OFCCP enforces Executive Order 11246, Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans’ Readjustment Assistance Act of 1974.

Agency
Office of Federal Contract Compliance Programs
Date
July 21, 2021
Release Number
21-1201-ATL
Media Contact: Erika Ruthman
Media Contact: Eric R. Lucero
Phone Number
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US Department of Labor, Worley Group reach agreement to resolve alleged gender-based pay discrimination in Houston

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US Department of Labor, Worley Group reach agreement to resolve alleged gender-based pay discrimination in Houston

Company to pay $500,000 to 42 employees, $500,000 in salary adjustments

HOUSTON – The U.S. Department of Labor has entered into a conciliation agreement with Worley Group, to resolve alleged pay discrimination affecting 42 female, Black and Hispanic employees at its Houston location, formerly operated by Jacobs Engineering. The company’s parent, Jacobs Engineering Group Inc. is a federal defense contractor. In April 2019, Worley Group assumed control of Jacobs Engineering’s Houston operations.

During a routine compliance evaluation, the department’s Office of Federal Contract Compliance Programs found Jacobs Engineering discriminated against the affected employees beginning on or before Dec. 31, 2016. The evaluation found the company paid affected employees working in controls systems engineering, project engineering, quality control, and scheduling/planning less than their counterparts. OFCCP determined that the company’s actions violated Executive Order 11246, which prohibits federal contractors from discriminating in employment based on race, color, religion, sex, sexual orientation, gender identity or national origin. The company denies the allegations.

In 2016, Jacobs Engineering Group Inc. had a direct contract with the Department of Veterans’ Affairs totaling approximately $2.1 million.

Pursuant to the agreement, Worley Group will pay $500,000 in back wages and interest to 42 affected employees. The contractor will also allocate $500,000 for salary adjustments. Additionally, the company will provide compensation training to managers and human resources workers.

“The law is very clear, federal contractors must provide a level playing field to all workers, regardless of their race or ethnicity,” said Office of Federal Contract Compliance Programs Regional Director Melissa Speer in Dallas. “All employees deserve equitable pay, and we are glad that Worley Group proactively agreed to correct the issue early.” 

Worley Group is an international technical professional services company that provides technical, professional and construction services, as well as scientific and specialty consulting to companies, organizations and government agencies. The company’s Houston location provides engineering services to government sectors including NASA, the U.S. Departments of Transportation and Energy, and military branches.

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 that of others, subject to certain limitations, and may not retaliate against applicants or employees for engaging in protected activities. These laws also require that federal contractors provide equal employment opportunity through affirmative action. For more information, please call OFCCP’s toll-free helpline at 1-800-397-6251 or visit http://www.dol.gov/ofccp/.

OFCCP launched the Class Member Locator to identify applicants or workers who may be entitled to monetary relief and/or consideration for job placement as a result of OFCCP’s compliance evaluations and complaint investigations. If you think you may be a class member employed by Jacobs Engineering, learn more about this and other settlements.

Agency
Office of Federal Contract Compliance Programs
Date
June 29, 2021
Release Number
21-1157-DAL
Media Contact: Chauntra Rideaux
Media Contact: Juan Rodriguez
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US Foods will pay nearly $160K to resolve alleged hiring discrimination identified in US Department of Labor audit of Illinois distribution center

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US Foods will pay nearly $160K to resolve alleged hiring discrimination identified in US Department of Labor audit of Illinois distribution center

Compliance review finds company discriminated against women, Black job applicants

ROSEMONT, IL – US Foods will pay $159,550 in back pay and interest to 114 female and Black job applicants as part of an agreement with the U.S. Department of Labor’s Office of Federal Contract Compliance Programs to resolve alleged hiring discrimination found at its Bensenville distribution facility. The company will also offer jobs to 16 applicants.

During a routine compliance evaluation, OFCCP found that Rosemont-based US Foods discriminated against the applicants for selector positions, between January 1, 2018, and June 30, 2019. Executive Order 11246, prohibits federal contractors from discriminating in employment based on race, color, religion, sex, sexual orientation, gender identity or national origin. The company denies the allegations.

US Foods also agreed to take steps to ensure future compliance in its personnel practices, including recordkeeping and internal auditing procedures.

“US Foods has demonstrated its commitment to resolve these matters by making appropriate changes to its hiring process and providing equal employment opportunity,” said Office of Federal Contract Compliance Programs Regional Director Carmen Navarro in Chicago.

A foodservice distributor, the company has contracts for services with the U.S. Department of Agriculture and other government agencies.

OFCCP enforces Executive Order 11246Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans’ Readjustment Assistance Act of 1974. These laws require that federal contractors provide equal employment opportunity through affirmative action.

OFCCP launched the Class Member Locator to identify applicants or workers who may be entitled to monetary relief and/or consideration for job placement as a result of OFCCP’s compliance evaluations and complaint investigations. If you think you may be a class member employed by US Foods, learn more about this and other settlements. Learn more about OFCCP.

 

Agency
Office of Federal Contract Compliance Programs
Date
June 28, 2021
Release Number
21-1016-CHI
Media Contact: Scott Allen
Phone Number
Media Contact: Rhonda Burke
Phone Number
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CORRECTED: US Department of Labor, Bechtel subsidiary reach agreement to resolve alleged gender-based pay discrimination in Houston

News Release

CORRECTED: US Department of Labor, Bechtel subsidiary reach agreement to resolve alleged gender-based pay discrimination in Houston

Natural gas extraction, offshore developer to pay $200K in Back Wages to 22 female employees

HOUSTON – The U.S. Department of Labor has entered into a conciliation agreement with Bechtel Oil, Gas and Chemicals Inc., to resolve alleged pay discrimination affecting 22 female employees at its Houston location.

Pursuant to the agreement, Bechtel Oil, Gas and Chemical will pay $200,000 in back wages and interest. In addition BOGC agreed to set aside $50,000 in salary adjustments to female employees with engineering job titles. The company will also take steps to ensure its personnel practices, including recordkeeping and internal auditing procedures, meet legal requirements.

A routine compliance evaluation by the department’s Office of Federal Contract Compliance Programs found Bechtel Oil, Gas and Chemical – a provider of contractor services for engineering, construction and project management for heavy construction projects – allegedly discriminated against female employees beginning on or before April 1, 2013, by paying them less than comparable male employees in similar jobs. Such actions violate Executive Order 11246, which prohibits federal contractors from discriminating in employment based on race, color, religion, sex, sexual orientation, gender identity or national origin. The company denies the allegations.

The law is clear that federal contractors must provide a level playing field for workers through equal employment opportunities,” said Office of Federal Contract Compliance Programs Regional Director Melissa Speer in Dallas. “All employees deserve equitable pay and federal contractors who deny this opportunity will be held accountable.” 

Bechtel Oil, Gas and Chemicals provides engineering and construction services for the energy and chemicals markets worldwide. Its business lines consist of liquefied natural gas, downstream, chemicals, pipeline and tanks. During the course of the OFCCP investigation, Bechtel Group Inc., the parent company of Bechtel Oil, Gas and Chemical and Bechtel National Inc. has received more than $11 billion in federal contracts from the U.S. Department of Energy for the design, construction and commissioning of the Hanford Tank Waste Treatment and Immobilization Plant.

OFCCP launched the Class Member Locator to identify applicants or workers who may be entitled to monetary relief and/or consideration for job placement as a result of OFCCP’s compliance evaluations and complaint investigations. If you think you may be a class member employed by Bechtel Oil, Gas and Chemical, learn more about this and other settlements.

Editor’s Note: This press release has been changed to correctly describe Bechtel’s services and business lines.

Agency
Office of Federal Contract Compliance Programs
Date
June 25, 2021
Release Number
21-1001-DAL
Media Contact: Juan Rodriguez
Media Contact: Chauntra Rideaux
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US Department of Labor announces dialogue to promote employment equity for women workers

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US Department of Labor announces dialogue to promote employment equity for women workers

WASHINGTON, DC The U.S. Department of Labor announced today’s launch of a national online dialogue to gather ideas to improve labor outcomes for women, especially economically disadvantaged women. The dialogue will be open until July 9.

Hosted by the department’s Women’s Bureau, Office of Disability Employment Policy, Employment and Training Administration, Wage and Hour Division and Office of Federal Contract Compliance Programs, the dialogue and the input received will help identify strategies for dismantling the systemic barriers to employment and participation in workforce services women face. The dialogue’s themes will include:

  • Ensuring equity in the American Jobs Plan.
  • Promoting gender equity in the workplace.
  • Ensuring equitable access to paid leave.
  • Creating safe and welcoming workplaces.
  • Adapting to a changing labor market.

“Women’s economic empowerment is central to realizing women’s rights and gender equality. These dialogues seek to understand the barriers that continue to limit the full participation of women in the workplace,” said Women’s Bureau Director Wendy Chun-Hoon. “At the same time, we want to determine how best to provide resources we know lift up women workers and create a more equitable economy. We appreciate our stakeholders weighing in on these important issues.”

The dialogue will also help formulate future programs and funding opportunities that respond to the needs of women from diverse backgrounds. It furthers the government-wide priority for gender equity and equality set forth in President Biden’s Executive Order 14020.

Register to participate in the dialogue.

Agency
Women's Bureau
Date
June 22, 2021
Release Number
21-1080-NAT
Media Contact: Christine Feroli
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