by Art Gutman Ph.D., Professor, Florida Institute of Technology

As reported on 9/17/12, Meyer Tool agreed to settlement with the OFCCP (see
http://www.dol.gov/opa/media/press/ofccp/OFCCP20121804.htm#.UHQvIo6hDzI).  As previously reported in an Alert posted on 12/13/10, the OFCCP filed an administrative complaint against Meyer Tool, a federal contractor that manufactures engine parts for the aerospace industry and has a $176.1 million prime contract with the Department of Defense. The complaint alleged that there were statistical indicators of adverse impact against black applicants for entry-level machinist positions between January 1, 2004 and December 31, 2004, with a difference in selection rates for whites and blacks at 3.48 standard deviations. The complaint based on an onsite review in February 2008 of hiring data for January 2004 through December 2004.

The settlement calls for $325,000 in back wages and interest to 60 qualified African-American applicants who were rejected for entry-level machinist positions at the company's manufacturing plant in Cincinnati. The company also will extend job offers to at least 11 members of the original class as positions become available, and will maintain employment records as required by law, provide equal employment opportunity training to all employees involved in the hiring process, and submit detailed progress reports on this front to OFCCP for the next two years.

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