US Department of Labor, Esri agree to resolve alleged pay discrimination at California headquarters; company to pay $2.3M to 176 female workers
SAN FRANCISCO – The U.S. Department of Labor has entered into a conciliation agreement with Esri-based in Redlands, California, to resolve preliminary findings of a federal compliance evaluation that allege the company paid 176 female employees less than their male counterparts in 2017.
The department’s Office of Federal Contract Compliance Programs alleged that from Jan. 1 through Dec. 31, 2017, Esri – a digital mapping and analytics company – systemically discriminated against 143 female software development engineers and 33 female quality assurance engineers at its Redlands headquarters.
Esri entered into an Early Resolution Agreement voluntarily to resolve the allegations, and agreed to pay $2.3 million in back wages and interest to the affected employees. The company will also review and revise its overall compensation system, provide enhanced training to its managers to ensure future compliance, and conduct annual compensation analyses.
“Federal contractors must ensure that their compensation policies and practices provide equal pay and do not lead to discrimination based on gender,” said Office of Federal Contract Compliance Programs Director Jenny R. Yang. “Federal contractors must conduct annual pay equity audits and take proactive efforts to assess compensation systems and remedy unjustified pay gaps.”
Executive Order 11246 prohibits federal contractors and federally assisted construction contractors and subcontractors from discriminating in employment decisions based on race, color, religion, sex, sexual orientation, gender identity or national origin.
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 eligible for back pay from this settlement, or may know someone who is, please visit the OFCCP Class Member Locator to learn more about this and other settlements.