Please note: As of January 20, 2021, information in some news releases may be out of date or not reflect current policies.
Ameriprise Financial, Inc. to settle discrimination charges, pay $128K in back pay, interest to 20 black employees
MINNEAPOLIS – One of the nation’s leading financial planning companies discriminated in pay against black employees, an investigation by the U.S. Department of Labor’s Office of Federal Contract Compliance Programs has found.
While not admitting liability, Ameriprise Financial, Inc. has agreed to pay a total of $128,200 in back wages and interest to 20 black employees in unlicensed service professional positions, after an OFCCP compliance review found the company violated Executive Order 11246 by paying black employees who processed routine account service requests less than their similarly situated white counterparts.
“It is unlawful for federal contractors to discriminate in pay on the basis of race,” said Acting OFCCP Director Thomas Dowd. “Through this settlement the affected workers in this case will be compensated for their losses.”
At the time of the compliance evaluation, the company under review was known as Ameriprise Bank, FSB, which subsequently reorganized as Ameriprise National Trust Bank and is now known as Ameriprise Financial, Inc. With a nationwide network of 10,000 financial advisors, the company currently offers asset management, advisory and insurance services. The client service delivery unit provides services and transaction processing for advisors and clients. Ameriprise Financial, Inc. is based in Minneapolis.
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 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/.
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. If you think you may be a class member who worked in an unlicensed service professional position between Feb. 19, 2013 and Feb. 18, 2014 at Ameriprise Financial, Inc. reporting to Minneapolis, please visit our website at http://www.dol.gov/ofccp/CML/index.htm, where you can also find information about other recent OFCCP settlements, or call 877-716-9783.