CHICAGO (Feb. 28, 2011) – Federal contractor InterCall will pay $700,000 in back wages, interest and benefits to 151 minority job applicants who were subjected to discrimination by the company.
The settlement follows an investigation by the U.S. Department of Labor’s Office of Federal Contract Compliance Programs, which found that 103 black, 28 Asian and 20 Hispanic job applicants were systemically rejected for sales associate positions at the company’s Chicago offices in 2006 and 2007. In addition to financial compensation, InterCall will extend a total of 14 offers of employment to affected applicants as positions become available.
“I’m pleased that we were able to work out a fair resolution on this case,” said OFCCP Midwest Regional Director Sandra S. Zeigler. “Companies that do business with our government have a responsibility to ensure that their workplaces are safe, fair and diverse. Going forward, we expect that will be true at InterCall.”
During a scheduled compliance review, OFCCP determined that the company had violated Executive Order 11246, which prohibits federal contractors and subcontractors from discriminating on the basis of race and national origin in their employment practices. Under the terms of the conciliation agreement worked out between the Labor Department and InterCall, the company will pay $700,000 to be divided among the 151 affected minority applicants who return timely notifications.
The company also has agreed to undertake extensive self-monitoring and corrective measures to ensure that all employment practices fully comply with the law and will immediately correct any discriminatory practices.
InterCall, a subsidiary of West Corp. of Omaha, Neb., is the world’s largest conferencing provider. Between 2005 and 2008, the company had a $1.7 million contract to provide software, telecommunication support and recording services to the U.S. Department of Health and Human Services.
In addition to Executive Order 11246, OFCCP’s legal authority exists under Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans’ Readjustment Assistance Act of 1974. As amended, these three laws hold those who do business with the federal government, both contractors and subcontractors, to the fair and reasonable standard that they not discriminate in employment on the basis of gender, race, color, religion, national origin, disability or status as a protected veteran.
For general information, call OFCCP’s toll-free helpline at 800-397-6251. Additional information is also available at http://www.dol.gov/ofccp.