In their fiscal year 2018 reports, the EEOC and OFCCP report combined monetary settlements of $521 million to victims of workplace discrimination. It was reported that $505 million in funds were paid to settle EEOC complaints, benefiting almost 68,000 people. An additional $16.4 million was paid to 12,000 workers based on findings by the OFCCP, primarily in the area of compensation violations.
Several new pieces of guidance came out during and following the NILG conference held earlier this month. A few notable directives include the Contractors “bill of rights” and the directive about focused reviews in fiscal year 2019. Berkshire clients should also note the recent directive issued addressing OFCCP’s new plans to address religious organizations under its jurisdiction.
The SLS Hotel, operating in Miami Florida, has agreed to pay $2.5 million in a recent settlement brought about by the Equal Employment Opportunity Commission (EEOC). The lawsuit alleges that black Haitian dishwashers were wrongfully terminated based on their race, color, and national origin. A staffing agency then filled the positions, in turn creating a workforce of predominately Hispanics with light or fair skin. Hotel and nightlife company SBE operates the SLS Hotel. SBE operates hotels and restaurants located both domestically and internationally. The company prides itself on creating an extraordinary experience for the community throughout each of its proprietary brands, according to its mission statement.
In December 2017, the Communications Workers of America (CWA) filed a lawsuit against several big businesses alleging age discrimination with the use of their social media advertising. Just recently the CWA added more companies to their list. The December suit named Amazon, T-Mobile, Cox Communications, and Cox Media Group. The recent amendment included Ikea and Enterprise Rent-A-Car.
In May 2018, OFCCP entered into a conciliation agreement with Five Star Quality Care (dba Meadowmere and Mitchell Manor) to settle allegations that the contractor failed to hire African-American applicants for Dietary Aides at their West Allis, WI facility. The agency analyzed Meadowmere/Mitchell Manor’s applicant and hiring data during the period of October 2011 through October 2013 and found the contractor’s selection process was ‘subjective and non-uniform’ which resulted in the disproportionate non-selection of African-American Dietary Aide applicants.
Recently, New Jersey governor Phil Murphy signed a bill aimed at promoting equal pay for workers. This law promotes equal pay for workers regardless of race or gender. According to estimates, women in New Jersey earn roughly 81 cents on the dollar compared to men, which is closely in line with the national pay gap of 80 cents on the dollar.
Fastenal has entered into a conciliation agreement with the OFCCP to settle allegations of hiring discrimination at its Denton, Texas facility. According to the conciliation agreement, OFCCP alleges that between November 6, 2012 – November 6, 2014, Fastenal discriminated against female, Black, and Hispanic applicants in the hiring process for its 8B Part-Time Laborer Job Group. The Conciliation Agreement notes the total adjusted shortfall, accounting for race/ethnicity and gender, is 55. To resolve these claims, Fastenal has agreed to pay $250,000 and to hire at least 55 eligible class members (36 females, 17 Blacks, and seven Hispanics) within the next 24 months, unless it exhausts the list of eligible class members prior to this date.
The Office of Federal Contract Compliance Programs (OFCCP) has entered into a conciliation agreement with Hillshire Brands Company, formerly known as Sara Lee Food and Beverage, to settle allegations of hiring discrimination at its location in Storm Lake, Iowa. OFCCP alleged the federal contractor discriminated against White and Black applicants in Production positions. All allegations cover the period January 1, 2012, through at least December 31, 2012. In July 2012, Sara Lee’s North American “meat products” operation was renamed Hillshire Brands.
The Office of Federal Contract Compliance Programs (OFCCP) has entered into a conciliation agreement with TPG Hotels, operates major brands including, Marriott, Hilton, Hyatt, Intercontinental, Starwood, Wyndham, and other independent properties, to settle allegations of hiring discrimination at its St. Louis, Missouri location. OFCCP alleges that TPG Hotels discriminated against Black applicants for positions as Housekeepers and Banquet Servers from April 2014 through at least March 2015. More specifically OFCCP contends that TPG Hotels’ selection procedures had an adverse impact on hiring Black applicants in Housekeeping when compared to Asian applicants, with a shortfall of eight. In addition, when compared to the hiring of White applicants for the Banquet Server position, there was a shortfall of five Black hires. For both these positions, OFCCP found the company did not maintain complete documentation, and failed to apply their hiring criteria consistently.