The U.S. Department of Labor’s Office of Federal Contract Compliance Programs recently agreed with an air conditioning and refrigeration business to address allegations of race-based hiring discrimination. This conciliation follows a compliance review revealing discriminatory practices against Black applicants seeking assembler positions at the air conditioning and refrigeration business facility.
Company Owes 98 Black Applicants Back Wages and Interest
The air conditioning and refrigeration business will pay $100,000 in back wages and interest to 98 affected Black applicants and extend job offers to identified class members. Samuel B. Maiden, the Regional Director in Philadelphia, emphasized the non-negotiable nature of equal employment opportunity for federal contractors, underscoring the need for resolution and procedural safeguards to prevent future discriminatory practices.
The Office of Federal Contract Compliance Programs found the air conditioning and refrigeration business in violation of Executive Order 11246, which strictly prohibits discrimination based on race, color, religion, sex, sexual orientation, gender identity, or national origin among federal contractors.
Additional Information
The air conditioning and refrigeration business, a multinational company headquartered in Japan with its U.S. base in Minnesota, holds contracts with the General Services Administration, providing air conditioning, heating, and ventilation systems to federal agencies.
The Office of Federal Contract Compliance Programs introduced the Class Member Locator to assist potential beneficiaries of monetary relief or job placement resulting from compliance evaluations. This platform aims to ensure equitable outcomes for applicants affected by discriminatory practices.
Apart from Executive Order 11246, the Office of Federal Contract Compliance Programs enforces statutes like Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans’ Readjustment Assistance Act of 1974. These laws reinforce the prohibition of discrimination in employment based on disability or veteran status among federal contractors and subcontractors.
Conclusion
For small and midsize Business owners engaged in federal contracts, this case highlights the significance of fair hiring practices and compliance with employment regulations. Prioritizing equal opportunities isn’t just a legal obligation—it’s an essential step toward creating diverse and inclusive workplaces that foster growth and equality for all employees. Compliance not only averts penalties but also builds a more robust and equitable workforce.