Companies who have more than $10,000 in federal contracts must agree to institute Affirmative Action policies and are required to maintain equal employment practices. Also they must submit to periodic audits conducted by the Department of Labor.
Since 2005, Lincoln Electric has had more than $2 million in contracts with the federal government. Based on statistical analysis issued by the U.S. Department of Labor, from 2005 to 2007, the electric company discriminated against thousands of African American job applicants. According to the article, Lincoln Electric to Pay $1 million to Settle Federal Discrimination Claims, potential employees were asked questions that were intended to screen job applicants. Such included questions pertaining to previous experience involving physical labor and prior drug convictions, of which had little to do with the jobs in question.
As a result of such questions, Lincoln Electric did not hire 5,557 qualified individuals who were African American. The DOL finds validity in this type of questioning for particular jobs and at a later stage of the hiring process, but to ask such questions initially, the DOL perceives as questionable. The $1 million settlement will be dispersed among the rejected applicants, equaling approximately $180 per person. Lincoln Electric has agreed to cease its past practices and hire 48 people into positions as they become available.
If you or someone you know thinks they have experienced discrimination due to race, the team at Radford & Keebaugh can help. Contact us by phone at (678) 369-3609or use our contact form.