Category Archives: Settlement News

“Being Big is Worse Than Being Bad”

“Being Big Is Worse Than Being Bad!”1

The question is what happens to the size of the contractor’s applicant pool if the TSF’s recruiting efforts are included? If a contractor is taking on 100-200 temps during the year, how many individuals does the TSF have to recruit to find a sufficient number who meet the basic qualifications for the position?  400?  800?  1,200?  Is there a downside of having large applicant pools?  Isn’t having more choices a good thing?  Does the contractor want to include an additional 1,200 individuals recruited by the TSF in the contractor’s own applicant pool?  In reality, there are real and potentially costly implications for agreeing to consider the TSF’s recruiting efforts as part of the contractor’s applicant flow.   Continue reading “Being Big is Worse Than Being Bad”

Applicant Pools, Adverse Impact and $1 Million

On June 12th, the OFCCP announced a $1 million settlement of a claim of systemic race discrimination in hiring against the Lincoln Electric Company in Cleveland, OH. The Agency alleged that the Company had discriminated against 5,557 African-American applicants for entry-level manufacturing production jobs by using an unvalidated selection process involving the use of various assessment instruments.  The settlement also calls for the Company to hire 48 members of the affected class. 

The Agency found that the Company’s selection process involved a “Turnover Risk Index” that had the effect of screening out African-American applicants at a disparate rate as opposed to non-African-Americans. The selection process involved asking candidates about their willingness to work rotating shifts as well as questions about drug use and criminal convictions.  This was the second time in 11 years that the Company settled a $1 million claim of unlawful discrimination in entry-level hiring.  Continue reading Applicant Pools, Adverse Impact and $1 Million