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Jun 10, 2016

Food distribution company to pay $1.85 million to settle entry-level hiring case

Affirmative ActionHarassment & Discrimination 

The Office of Federal Contract Compliance Programs (OFCCP) recently announced that Gordon Food Service, Inc. will pay $1.85 million to resolve allegations that it systematically discriminated against women when hiring for entry-level warehouse laborer jobs at locations in Michigan, Wisconsin, and Kentucky.

The Office of Federal Contract Compliance Programs (OFCCP) recently announced that Gordon Food Service, Inc. will pay $1.85 million to resolve allegations that it systematically discriminated against women when hiring for entry-level warehouse laborer jobs at locations in Michigan, Wisconsin, and Kentucky. The money will be shared among 926 qualified female applicants who weren’t hired. The company also agreed to offer jobs to 37 of the disappointed applicants and to stop using a strength test that OFCCP determined was discriminatory. The OFCCP’s suspicions were aroused because during the period of time reviewed by the agency, the company hired only 6 women and nearly 300 men into the entry-level warehouse positions.

Tips: This settlement illustrates how separate compliance reviews at different locations can turn into a massive coordinated investigation. The OFCCP now enters audit information into a national database for its internal use. The database allows compliance officers to compare notes in different geographic regions to look for common issues. Also, you can expect the OFCCP to pay close attention to employment tests. If the test has an adverse impact based on a protected status, the burden is on you as the employer to prove the test is job-related and consistent with business necessity, which may be difficult.

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