Affirmative Action: Meat-packer to pay nearly $440,000 to settle sex discrimination case

Clougherty Packing Co., a subsidiary of Hormel Food Corp. located in Los Angeles, has agreed to pay $439,538 in back pay and interest to 1,988 female applicants who were rejected for entry-level jobs at its meat-packing plant. The company holds a federal contract with the Department of Agriculture; its products include “Dodger Dogs” which are sold at the L.A. Dodgers’ baseball stadium. While conducting a random affirmative action audit, the Office of Federal Contract Compliance Programs (OFCCP) discovered statistical imbalances in the percentage of females hired compared to their availability in the company’s pool of applicants for laborer positions. As part of the settlement, Clougherty will offer jobs to 700 of the affected women as positions become available.

Tips: Adverse impact in entry-level hiring continues to result in significant settlements when the OFCCP comes calling. As a federal contractor, if you must prioritize your focus on affirmative action compliance, entry-level hiring is probably where your greatest risk lies. Contact your Vigilant affirmative action representative with any questions; if Vigilant prepares your annual written affirmative action plan (AAP), we automatically check for adverse impact in hiring.