OFCCP Files Suit Against Cargill Seeking to Cancel Its Federal Contracts and Debar It From Bidding on Future Solicitations

On November 29, 2011, the Office of Federal Contract Compliance Programs (“OFCCP”) filed an administrative complaint with the Office of Administrative Law Judges (“OALJ”) against Cargill Meat Solutions Corporation (“Cargill”) seeking to rescind over $550 million in contracts held by the Company.  According to a press release issued by OFCCP, Cargill allegedly discriminated against 4,069 qualified female and minority applicants for entry-level production jobs at its Springdale, Arkansas establishment.  OFCCP filed the complaint after it was unable to secure a Conciliation Agreement with Cargill.

According to the complaint, OFCCP found discriminatory hiring practices because “the company’s selection criteria were subjectively and inconsistently applied.”  In addition to gender discrimination, the complaint also alleges that Cargill employed “hiring and selection procedures that discriminated against non-Asian/Pacific Islander applicants for Entry-Level Production positions on the basis of their race” (including Caucasians) from August 1, 2006 to July 31, 2008. 

OFCCP also claims in the complaint that it found a host of technical compliance violations, including the failure to maintain personnel and employment records, the failure to conduct accurate adverse impact analyses and job group analyses, and the failure to list employment openings with the appropriate employment delivery service.  In addition to seeking back pay and job offers for affected class members, OFCCP is seeking to cancel Cargill’s existing contracts and subcontracts and debar it from entering into future contracts with the federal government.

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Filed under Affirmative Action Plan (AAP), Department of Labor, Discrimination, EEO, Executive Order, OFCCP, Veterans

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