U.S. Department of Labor issued the following announcement on Oct. 15.
The U.S. Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP) has reached a settlement with Intel Corp. to resolve allegations of systemic pay discrimination against female, African American and Hispanic American employees at its facilities in Arizona, California and Oregon. Under the terms of the agreement, Intel Corp. agreed to pay $3,500,000 in back pay and interest. Intel Corp. also agreed to allocate at least $1,500,000 in pay-equity adjustments for the next five years for U.S. employees in engineering positions as part of its annual pay equity analysis.
“Women, African Americans, and Hispanic Americans earned back pay and interest in this case,” said Office of Federal Contract Compliance Programs Director Craig Leen.
“Intel Corp. is one of the first technology companies to take multiple proactive steps to ensure pay equity,” said Office of Federal Contract Compliance Programs Regional Director Jane Suhr, in San Francisco, California.
Intel Corp. volunteered to enter into an Early Resolution Agreement and agreed to take proactive steps to enhance its compliance with Executive Order 11246 in the compensation of all of its establishments to ensure non-discriminatory pay practices.
In November 2018, OFCCP launched an effort to resolve supply and service compliance evaluations at the earliest stage possible with corporate-wide compliance and issued a directive establishing Early Resolution Procedures (ERP). These procedures allow OFCCP and contractors with multiple establishments to cooperatively implement corporate-wide compliance with OFCCP’s regulatory requirements and efficiently resolve issues. In turn, contractors are exempt from future evaluations for five years.
Intel Corp. is an American multinational corporation and technology company headquartered in Santa Clara, California. Intel Corp. provides services and products to federal agencies, including NASA.
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