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Member, Beacon International Group, Ltd.
The U.S. Department of Labor on Thursday said Cleveland-based welding equipment manufacturer Lincoln Electric Co. has agreed to settle allegations that it discriminated against job applicants on the basis of race for $1 million.
An investigation by the department’s Office of Federal Contract Compliance Programs found that Lincoln, a federal contractor, systemically discriminated against 5,557 qualified African-American job applicants seeking entry-level factory and production positions at the company’s Cleveland facility.
Under the terms of the settlement, Lincoln Electric will pay $1 million in back wages and interest to the 5,557 affected job seekers and will offer entry-level positions to 48 class members as positions become available. The company also agreed to revise its selection policies and procedures to ensure equal employment opportunity for all job applicants going forward, the Department of Labor said in a statement.
“Vigilance is paramount in enforcing civil rights,” OFCCP Director Patricia A. Shiu said in the statement. “When we find violations of the law, corrective measures must be taken and lasting reform implemented so that further discrimination is not perpetuated against more workers.”
Since 2005, Lincoln Electric has held more than $2 million in federal contracts to manufacture welding products for the federal government. Federal laws require contractors and subcontractors to not discriminate in employment on the basis of sex, race, color, religion, national origin, disability or status as a protected veteran.
In 2003, Lincoln settled similar charges that it had discriminated in hiring against minorities and women.
“We will remain vigilant as we work with Lincoln Electric to ensure that unfair barriers in the company’s hiring process are fixed once and for all,” Ms. Shiu said.