BOA TO PAY NEARLY $2.2 MILLION FOR RACIAL DISCRIMINATION AGAINST AFRICAN-AMERICAN JOB SEEKERS

FROM:  U.S. JUSTICE DEPARTMENT 
Judge orders Bank of America to pay almost $2.2 million for racial discrimination against more than 1,100 African-American job seekers

CHARLOTTE, N.C. — U.S. Department of Labor Administrative Law Judge Linda S. Chapman has ordered Bank of America Corp. to pay 1,147 African American job applicants $ 2,181,593 in back wages and interest for race-based hiring discrimination at the company's Charlotte facility. In an earlier ruling, the judge determined that the bank applied unfair and inconsistent selection criteria resulting in the rejection of qualified African American applicants for teller and entry-level clerical and administrative positions. The ruling represents a major victory in a case that has spanned nearly two decades, during which Bank of America repeatedly challenged the authority of the department's Office of Federal Contract Compliance Programs. Bank of America is a federally-insured financial institution that provides a variety services and products, making it a federal contractor under the purview of OFCCP's regulatory requirements.

"Wherever doors of opportunity are unfairly closed to workers, we will be there to open them — no matter how long it takes," said OFCCP Director Patricia A. Shiu. "Judge Chapman's decision upholds the legal principle of making victims of discrimination whole, and these workers deserve to get the full measure of what is owed to them."

The ruling awards $964,033 to 1,034 applicants who were rejected for jobs in 1993 and $1,217,560 to 113 individuals who were rejected between 2002 and 2005. It further orders Bank of America to extend job offers, with appropriate seniority, to 10 class members as positions become available. After hearing from experts on both sides, the judge agreed with the government's positions on every issue in dispute. Notably, she rejected the bank's arguments for a lower award on the grounds that they could not take advantage of missing records that they had failed to keep.

On Nov. 24, 1993, OFCCP initiated a routine compliance review that revealed indications of systemic hiring discrimination affecting African American job seekers at the Charlotte facility. After conciliation efforts failed, the Solicitor of Labor in 1997 filed an administrative complaint against the company for violating Executive Order 11246, which prohibits federal contractors from discriminating in employment practices on the basis of race.

"Our investigators and attorneys prevailed despite decades of stalling tactics," said Solicitor of Labor M. Patricia Smith. "This case demonstrates that the department will not be deterred in our pursuit of justice for job seekers."
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.

TOOL COMPANY SETTLES CASE OF RACE-BASED HIRING DISCRIMINATION

FROM: U.S. DEPARTMENT OF LABOR

Meyer Tool will pay $325,000 to 60 African-American applicants to settle US Labor Department allegations of racial discrimination at Cincinnati plant

CINCINNATI — The U.S. Department of Labor's Office of Federal Contract Compliance Programs has reached an agreement with federal contractor Meyer Tool Inc. to settle findings of race-based hiring discrimination. Under a consent judgment approved by a Labor Department administrative law judge, Meyer Tool will pay $325,000 in back wages and interest to 60 qualified African-American applicants who were rejected for entry-level machinist positions at the company's manufacturing plant in Cincinnati. Meyer Tool also will extend job offers to at least 11 members of the original class as positions become available.

"Workers should never be denied a fair shot at employment because of factors that have absolutely nothing to do with their ability to do the job," said OFCCP Director Patricia A. Shiu. "I am pleased that we were able to reach a fair settlement with Meyer Tool — one that will provide remedies to the affected workers and guarantee that, going forward, qualified applicants of all races and backgrounds will have the opportunity to compete on a level playing field for good jobs."

Based on a compliance review of the facility, OFCCP investigators determined that Meyer Tool had failed to ensure qualified job applicants received equal consideration for employment without regard to race as required by Executive Order 11246. The department filed an administrative complaint on Nov. 19, 2010, alleging systematic discrimination on the part of the company.

Under the terms of the consent judgment, Meyer Tool not only will provide financial remedies and job offers to the affected workers, but also will maintain employment records as required by law, provide equal employment opportunity training to all employees involved in the hiring process and submit detailed progress reports on this front to OFCCP for the next two years.

Cincinnati-based Meyer Tool manufactures engine parts, primarily for the aerospace industry, and is one of the area's largest private companies. During the period of OFCCP's review, Meyer Tool held contracts worth nearly $300,000 to provide engines and engine parts to the U.S. 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. As amended, 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.