[author: Louise Davies, Paralegal]

As a result of a compliance review that began in 2013, the Office of Federal Contract Compliance Programs alleged that a federal contractor in the District of Columbia discriminated against African-American applicants who applied for project manager positions. In a recent Conciliation Agreement with the OFCCP, Colonial Parking, Inc., has agreed to distribute $180,194.61 in back pay and interest to 20 rejected African-American applicants, and to offer three project manager positions to rejected African-American applicants. The company must also provide training on recruiting and hiring for all individuals involved in the selection process.

The OFCCP also alleged that African-American valet attendants were paid less than Hispanic workers in the same position. Therefore, as part of the Conciliation Agreement, Colonial Parking will also pay $67,768.21 in back pay and interest to 54 current valet attendants who are African-American. The company has also agreed to adjust the compensation of each class member to ensure they are being paid at an equitable rate.  According to Bloomberg BNA, this is the first OFCCP settlement announced in 2016 that includes allegations of compensation discrimination.

The Conciliation Agreement states that Colonial Parking does not admit to any violations of Executive Order 11246.

Settlements like these serve to remind federal contractors of all of their affirmative action requirements, especially recordkeeping, training, and monitoring of selection procedures and compensation practices.

Louise Davies is an Affirmative Action Paralegal in Constangy’s Winston-Salem, North Carolina, office. For more than 15 years, she has helped employers develop affirmative action plans and respond to audits and on-site investigations by the Office of Federal Contract Compliance Programs. She also conducts diversity training for employers. Louise is a graduate of Wesleyan College in Macon, Georgia.