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Staffing agency to pay $3.5M to settle EEOC suit

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staffing agency

A national staffing agency has agreed to pay $3.5 million to resolve U.S. Equal Employment Opportunity Commission systemic investigations relating to the hiring and placement of individuals assigned to work at its clients, the agency said Friday.

The EEOC said Hanover, Maryland-based Aerotek had failed to recruit and denied assignments and placements and/or hiring to individuals based on being over 40, and on their sex and race.

The agency said the alleged conduct violated Title VII of the Civil Rights Act of 1964 and the Age Discrimination in Employment Act of 1967.

Aerotek denies it engaged in any discriminatory or unlawful conduct, but agreed to resolve the matter rather than proceed with litigation, the EEOC said in its statement.

Under the agreement, half of the $3.5 million settlement will go to two charging parties for alleged Title VII violations and to a class of select older individuals in Illinois who worked as Aerotek contract employees between Oct. 1, 2012, and March 14, 2014, for alleged ADEA violations.

The other half will be donated to organizations that foster education and employment opportunities for underserved communities, the statement said.

Among other settlement provisions, Aerotek will continue to conduct annual companywide training for its employee relations and human resources personnel and client recruiters on Title VII and the ADEA, the EEOC said.

EEOC Chicago district director Julianne Bowman said in a statement the agency “is pleased it was able to reach an agreement with Aerotek to rectify the discrimination uncovered during our investigations over several years.”

Dana Baughns, Aerotek’s vice president and general counsel, said in a statement the company “was proactive to create and put in place concrete steps to prevent discrimination before the investigations drew to a close.”

 

 

 

 

 

 

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