Westat To Pay $1.5M To Settle Discrimination Case With OFCCP

News Release

OFCCP News Release: [09/10/2014]
Contact Name: Laura McGinnis or Michael Trupo
Phone Number: (202) 693-4653 or x6588
Email:
McGinnis.Laura.K@dol.gov or Trupo.Michael@dol.gov
Release Number: 14-1512-NAT

Data mining giant Westat to pay $1.5M
to settle discrimination case with US Labor Department

More than 3,600 African American, Asian American, Hispanic and female applicants to benefit

ROCKVILLE, Md. — Federal contractor Westat Inc. has agreed to settle allegations that it failed to provide equal employment opportunities to 3,651 African American, Asian American, Hispanic and female job applicants at its Rockville headquarters and at field sites in California, Connecticut, Michigan, Mississippi, New York, North Carolina and Tennessee. The conciliation agreement entered into by Westat and the department’s Office of Federal Contract Compliance Programs resolves these and numerous other violations, including a failure to maintain and internally audit its own records.

“For more than 50 years, Westat has effectively harnessed the power of data to produce ground-breaking research,” said U.S. Secretary of Labor Thomas E. Perez. “That commitment to data integrity should also be applied to its employment practices so that every worker has a fair shot at getting a good job and company leadership understands exactly who is getting hired and why.”

During a scheduled compliance review, OFCCP investigators discovered that Westat used a selection process that systematically discriminated against 2,153 African American, 825 Asian American and 35 Hispanic job applicants for research analyst, programmer analyst, telephone data collector and field data collector positions, as well as 638 female applicants for survey process staff positions, between Oct. 1, 2008, and Sept. 30, 2009.

Under the terms of the settlement, Westat will pay a total of $1,500,000 in back wages and interest to 3,651 affected applicants and make 113 job offers to the original class members as positions become available. The company has also agreed to preserve and maintain all employment records, correct record-keeping violations, conduct internal audits, and perform outreach and positive recruitment activities. These efforts are integral to compliance with Executive Order 11246, which prohibits federal contractors from discriminating in employment on the basis of race, color, religion, sex or national origin.

Westat is one of the leading research and statistical survey organizations in the United States. Over the past six years, the company has held more than $2.8 billion in federal contracts with agencies including the U.S. Departments of Agriculture, Commerce, Defense, Education, Energy, Labor, Health and Human Services, Transportation, Treasury and 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 that those who do business with the federal government, both contractors and subcontractors, 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.

Central Parking System of Louisiana Inc. Settles Hiring and Pay Discrimination Case with US Department of Labor

News Release

OFCCP News Release: [09/04/2014]
Contact Name: Diana Petterson or Juan Rodriguez
Phone Number: (972) 850-4710 or x4709
Email:
Petterson.Diana@dol.gov or Rodriguez.Juan@dol.gov
Release Number: 14-0920-DAL

Central Parking System of Louisiana Inc. settles hiring
and pay discrimination case with US Department of Labor

Company will pay $275,000 in back wages and interest to 195 female and black applicants

NEW ORLEANS — The U.S. Department of Labor’s Office of Federal Contract Compliance Programs announced today that Central Parking System of Louisiana Inc. has agreed to pay $275,000 in back wages and interest to settle allegations of placement and hiring discrimination affecting 104 women and 91 African Americans who were rejected as valets at the company’s New Orleans location.

“I am pleased with this settlement, which reflects a mutual commitment between the department and Central Parking to ensure that all workers have a fair shot at competing for good jobs,” said OFCCP Southwest and Rocky Mountain Regional Director Melissa L. Speer. “Outdated notions about race and gender don’t belong in any workplace, even when those workplaces are parking garages.”

An OFCCP investigation found that qualified African Americans, who applied for jobs as valets between 2007 and 2009, were hired at a significantly lower rate than similarly situated applicants of other races. Simultaneously, qualified women who applied for these positions were steered into cashier positions, which do not earn tips, leading to lower earnings compared with men hired into the valet positions. These hiring and placement practices violate Executive Order 11246, which prohibits federal contractors such as Central Parking from discriminating in employment based on race and gender.

Under the terms of its conciliation agreement with OFCCP, the company will pay $100,000 in back wages and interest to the female class members and $175,000 to the affected African American applicants. Central Parking has agreed to place 65 of the women and hire 27 of the African Americans into valet positions, with retroactive seniority and benefits for the new hires, as positions become available. The company will undertake extensive self-monitoring measures to ensure that its personnel practices, including record keeping, comply with the law.

Central Parking provides parking services and facilities for numerous federal agencies. During the two-year period reviewed in this investigation, the company received more than $3.2 million in federal contracts. In October 2012, Chicago-based Standard Parking Corp. purchased the company.

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 that 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/.

Great Plains Coca-Cola Bottling in Oklahoma City Settles Sex Discrimination Case with OFCCP

News Release

OFCCP News Release: [09/04/2014]
Contact Name: Laura McGinnis or Michael Trupo
Phone Number: (202) 693-4653 or x6588
Email:
McGinnis.Laura.K@dol.gov or Trupo.Michael@dol.gov
Release Number: 14-0267-NAT

Great Plains Coca-Cola Bottling in Oklahoma City
settles sex discrimination case with US Labor Department

Nearly 1,300 women to share $475K in back wages and interest

OKLAHOMA CITY — Following an investigation by the U.S. Department of Labor’s Office of Federal Contract Compliance Programs, Great Plains Coca-Cola Bottling Co. has agreed to pay $475,000 in back wages and interest to settle allegations of sex discrimination affecting 1,293 female job seekers. OFCCP investigators determined that Great Plains Coca-Cola Bottling unfairly rejected these qualified women for merchandiser, driver, driver trainee, production and warehouse positions at the company’s bottling and distribution facility in Oklahoma City.

“We cannot build a 21st century workforce by leaving more than half our people behind,” said OFCCP Director Patricia A. Shiu. “It is past time for employers to recognize that skills, not sex, should be the determining factor in who gets the job.”

Today’s settlement stems from an OFCCP review of Great Plain Coca-Cola Bottling’s hiring practices over a two-year period beginning in June 2007. Investigators found that female applicants were much less likely to be hired than similarly-situated male applicants and determined that the company had violated Executive Order 11246, which prohibits federal contractors from discriminating on the basis of sex when making employment decisions.

In addition to the financial remedies, the company will make job offers to 116 of the original class members as positions become available. The company has also already made necessary changes to the policies, practices and procedures it uses to recruit, track and hire applicants for these positions.

Great Plains Coca-Cola Bottling has been an operating unit of Atlanta-based Coca-Cola Refreshments since 2012. At the time of OFCCP’s review, the Oklahoma City establishment was one of eight bottling facilities that comprised the then privately held Great Plains Coca-Cola Bottling Co.

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 that 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/.

Rule To Collect Summary Pay Data From Federal Contractors Proposed By OFCCP

News Release

OFCCP News Release: [08/06/2014]
Contact Name: Laura McGinnis or Michael Trupo
Phone Number: (202) 693-4653 or x6588
Email:
McGinnis.Laura.K@dol.gov or Trupo.Michael2@dol.gov
Release Number: 14-1451-NAT

Rule to collect summary pay data from federal contractors
proposed by US Labor Department
Equal Pay Report would help combat pay discrimination

WASHINGTON —The U.S. Department of Labor today announced a proposed rule requiring federal contractors and subcontractors to submit an annual Equal Pay Report on employee compensation to the Office of Federal Contract Compliance Programs. Under the terms of the proposal, this requirement would apply to companies that file EEO-1 reports, have more than 100 employees and hold federal contracts or subcontracts worth $50,000 or more for at least 30 days. Through the Equal Pay Report, OFCCP would be able to collect summary employee pay and demographic data using existing government reporting frameworks.

President Obama signed a presidential memorandum on April 8 instructing the secretary of labor to propose a rule within 120 days to collect summary compensation data from federal contractors and subcontractors. The proposal tabled at the Federal Register today reflects criteria set forth by the president to maximize the efficiency and effectiveness of OFCCP’s enforcement programs, minimize the burden placed on federal contractors, and use data to encourage greater voluntary compliance with the law. The proposed Equal Pay Report would also help OFCCP direct its enforcement resources toward contractors whose summary compensation data suggests potential pay violations.

The rule will be published in the Federal Register on Aug. 8, and all comments must be received by Nov. 6, 2014. To read and comment on the proposed rule, please visit http://www.dol.gov/ofccp/EPR.

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, 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 Settles Second Discrimination Charge Against Lincoln Electric Co.

News Release

OFCCP News Release: [06/12/2014]
Contact Name: Laura McGinnis or Michael Trupo
Phone Number: (202) 693-4653 or x6588
Email:
McGinnis.Laura.K@dol.gov or Trupo.Michael2@dol.gov
Release Number: 14-0506-NAT

US Labor Department settles second discrimination charge
against Lincoln Electric Co. in Cleveland, Ohio

Agreement includes job offers, $1M for 5,557 African American applicants

WASHINGTON — Lincoln Electric Co. has agreed to settle allegations of hiring discrimination on the basis of race following an investigation by the U.S. Department of Labor’s Office of Federal Contract Compliance Programs. An investigation by OFCCP compliance officers found that the federal contractor violated Executive Order 11246 by using a hiring process that resulted in systemic discrimination against African American applicants. As a result, 5,557 qualified African Americans were rejected for entry-level factory and production positions at the company’s Cleveland facility.

Under the terms of the conciliation agreement, Lincoln Electric will pay $1 million in back wages and interest to the 5,557 affected job seekers and will offer entry-level positions to 48 class members as positions become available. Additionally, the company will revise its selection policies and procedures, including making changes to its online application test, to ensure equal employment opportunity for all job applicants going forward.

“Vigilance is paramount in enforcing civil rights,” said OFCCP Director Patricia A. Shiu. “When we find violations of the law, corrective measures must be taken and lasting reform implemented so that further discrimination is not perpetuated against more workers. We will remain vigilant as we work with Lincoln Electric to ensure that unfair barriers in the company’s hiring process are fixed once and for all.”

During a scheduled compliance review, OFCCP determined that Lincoln Electric’s paper and online application systems created multiple barriers for African Americans to advance in the selection process. In addition, Lincoln Electric’s applications and post-application tests were not properly supported by a validation study that satisfies the requirements of the Uniform Guidelines on Employee Selection Procedures.

Since 2005, Lincoln Electric has held more than $2 million in federal contracts to manufacture welding, cutting and joining products for the federal government. The company was cited for the same violation more than a decade ago when an OFCCP review found that the contractor had discriminated in hiring against minorities and women who applied for entry-level factory jobs. Those charges were settled by a 2003 conciliation agreement that provided $1 million in back pay and interest to the affected workers in that case.

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 that 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/.

OFCCP Settles Charges Of Racial Discrimination With Parsons Brinckerhoff

News Release

OFCCP News Release: [05/08/2014]
Contact Name: Ted Fitzgerald or Andre J. Bowser
Phone Number: (617) 565-2075 or x2074
Email:
Fitzgerald.Edmund@dol.gov or Bowser.Andre.J@dol.gov
Release Number: 14-0406-NEW

US Department of Labor settles charges of racial discrimination with New York City-based federal contractor Parsons Brinckerhoff

Agreement includes $188,043 for 247 job applicants

NEW YORK — The U.S. Department of Labor’s Office of Federal Contract Compliance Programs today announced that federal contractor Parsons Brinckerhoff agreed to settle allegations of hiring discrimination on the basis of race and ethnicity involving 247 Hispanic, Asian-American, African-American, Native American and mixed race job applicants who were rejected for assistant engineer positions at the company’s New York City headquarters.

“Parsons Brinckerhoff has a long, rich history of managing federal projects that have a significant impact on the lives of those who live and work in the communities where they are located,” said OFCCP Director Patricia A. Shiu. “That makes it especially important for this company to meet its legal obligations to provide workers with a fair shot at employment and live up to company President and CEO George J. Pierson’s stated commitment to build a ‘firm that values diversity in our workforce and welcomes new talent and experienced professionals with the same enthusiasm.’”

During a scheduled compliance review, OFCCP investigators determined that Parsons Brinckerhoff violated Executive Order 11246 between 2010 and 2012 by using a hiring process that resulted in systemic discrimination. The agency found that Parsons Brinckerhoff did not follow its own written hiring policies and failed to use a consistent selection process for screening, interviewing and selecting assistant engineers. As a result, zero minorities were hired as assistant engineers during the review period.

Parsons Brinckerhoff is a global consulting firm responsible for designing, building, operating and maintaining important landmarks, such as the African Burial Ground National Monument in Manhattan. During the past three years, the company has received more than $2.1 million in taxpayer-funded contracts from the U.S. Department of the Army, Federal Highway Administration, National Park Service, Smithsonian Institution and Public Buildings Service.

Under the terms of the conciliation agreement signed by both parties, the contractor will pay $188,043 in back wages and interest to the affected job seekers and will offer assistant engineer positions and retroactive seniority to at least four class members as positions become available. Additionally, the company will revise its selection policies and procedures to ensure equal employment opportunities for all future applicants.

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 that 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://dol.gov/ofccp/.

Puerto Rico Construction Contractor Settles Sexual Harassment and Discrimination Case With OFCCP

News Release

OFCCP News Release: [04/02/2014]
Contact Name: Ted Fitzgerald or Andre J. Bowser
Phone Number: (617) 565-2075 or x2074
Email:
Fitzgerald.Edmund@dol.gov or Bowser.Andre.J@dol.gov
Release Number: 14-0363-NEW

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/.

Cargill Agrees To Pay More Than $2.2M To Settle Charges Of Hiring Discrimination Brought By OFCCP

News Release

OFCCP News Release: [01/22/2014]
Contact Name: Laura McGinnis or Michael Trupo
Phone Number: (202) 693-4653 or x6588
Email:
McGinnis.Laura.K@dol.gov or Trupo.Michael2@dol.gov
Release Number: 14-0010-NAT

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/.

New Jersey Dairy Company To Pay Nearly $325,000 To Settle Charges Of Sex And Race Discrimination

News Release

OFCCP News Release: [12/23/2013]
Contact Name: Leni Fortson or Joanna Hawkins
Phone Number: (215) 861-5102 or x5101
Email:
uddyback-fortson.lenore@dol.gov or Hawkins.Joanna@dol.gov
Release Number: 13-2307-NEW

New Jersey dairy company to pay nearly $325,000 to settle charges of sex and race discrimination affecting 227 job applicants

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/.

G&K Services Co. Settles Claims Of Pay And Hiring Discrimination With OFCCP

News Release

OFCCP News Release: [11/04/2013]
Contact Name: Deanne Amaden or Jose A. Carnevali
Phone Number: (415) 625-2630 or x2631
Email:
Amaden.Deanne@dol.gov or Carnevali.Jose@dol.gov
Release Number: 13-1725-SAN

G&K Services Co. settles claims of pay and hiring discrimination with the US Labor Department

Agreement includes $265,983 in back pay to 59 women steered into lower paying jobs

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/.