OFCCP Settles with Large Diagnostics Firm

In June 2018, OFCCP entered into a conciliation agreement with Roche Diagnostics Corporation to sett...

Posted by Rachel Rubino, MS, SPHR, SHRM-SCP on July 2 2018
Rachel Rubino, MS, SPHR, SHRM-SCP

Roche Diagnostics OFCCP SettlementIn June 2018, OFCCP entered into a conciliation agreement with Roche Diagnostics Corporation to settle allegations that the company failed to provide equal employment opportunity for African-American applicants based on race at the Indianapolis, IN facility. The agency alleges this discrimination occurred between March 2011 and March 2013, specifically for Material Handling and Production Technician positions. The conciliation agreement details that the agency’s analysis found adverse impact in hiring against a total of 626 African-American applicants, with a shortfall of five African-American hires for Material Handling positions and three African-American hires for Production Technician positions.

Roche Diagnostics Corporation also received three technical violations. The first violation was for failing to permit OFCCP access to its facility to conduct an on-site compliance investigation. It also notes the contractor “consistently evaded OFCCP’s information or document requests, which were put forth on multiple occasions.” The conciliation agreement states Roche Diagnostics Corporation did permit access to its facility on January 12, 2015, so OFCCP considers this violation remedied. The additional technical violations include failure to develop action-oriented programs to correct the hiring discrimination found in the Operatives job group, as well as failure to evaluate the individual components of the selection process after determining the total selection process for the Material Handling and Production Technician jobs had adverse impact.

The conciliation agreement details both financial and non-financial remedies. Roche Diagnostics Corporation will pay a total of $261,782 in back pay and interest to the 626 class members listed in the agreement. Beyond that, Roche Diagnostics Corporation will extend job offers to qualified class members until five are hired into Material Handling positions and three are hired into Production Technician positions.

Request Information on Adverse Impact Analysis

Roche Diagnostics Corporation has agreed to create a revised hiring process for these positions, which includes creating a job description and identifying specific, job-related qualification standards that reflect the duties, functions, and competencies of the positions. The company also agreed to train all individuals involved in recruiting, selecting, or tracking these applicants on the new hiring process and documentation procedures. The contractor will also monitor selection rates of each step of the selection process for these positions, and where it is determined a selection procedure has adverse impact, it will be validated, or a new procedure will be implemented.

Roche Diagnostics Corporation is required to provide reports to OFCCP through January 2020, which includes applicant data and the results of total selection process adverse impact analyses, and the analyses of individual steps for adverse impact.

Rachel Rubino, MS, SPHR, SHRM-SCP
Rachel Rubino, MS, SPHR, SHRM-SCP
As Berkshire’s Director of Audit & HR Services, Lynn manages Berkshire’s Pay Equity, HR Services and Audit Defense practices. With 25 years of experience in the EEO and affirmative action space -- including nearly eight years working as a former senior official at the EEOC and OFFCP -- Lynn brings a unique blend of regulatory knowledge and practical compliance expertise to every project she oversees.

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