After ‘whites only’ job posting, tech staffing firm settles with DOJ

A Virginia-based tech company will pay thousands of dollars to advertise jobs asking for “whites only” applications.

The Departments of Justice and Labor assessed a civil penalty of $7,500 against minority-owned federal contractor Arthur Grand Technologies, Inc. They also ordered the federal contractor to pay a total of $31,000 to 31 people who complained about the posts.

“It is shameful that in the 21st century, employers continue to use ‘white applicants only’ or ‘U.S. born applicants only’ in job ads to exclude otherwise qualified job applicants of color,” Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division said in a statement.

The company began recruiting for a Salesforce business analyst and insurance claims specialist based in Dallas, Texas, in March 2023. The job advertisement restricted eligibility to “U.S.-born citizens only.” [white] Anyone living within 60 miles of Dallas, Texas [Don’t share with candidates]. ”

The post sparked outrage on social media and prompted a Justice Department investigation. The company denied authorizing the post and said it was posted by an employee at its Indian subsidiary.

The Justice Department said the list violated the Immigration and Nationality Act, and the Labor Department said the company violated an executive order that bars federal contractors from discriminating on the basis of race, national origin or other protected characteristics.

“We are committed to holding federal contractors accountable for outrageous discriminatory practices like this one,” said Michelle Hodge, acting director of the Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP). “Companies like Arthur Grand that receive federal contracts cannot have a ‘whites only’ hiring process.”

The agencies said Arthur Grand’s conduct harmed individuals with work authorization in the United States, including U.S. citizens born outside the United States and certain non-U.S. citizens.

In addition to the fine, the company will now be monitored to ensure it complies with anti-discrimination laws, and it will also be required to educate employees about the requirements of the Immigration and Nationality Act and revise its employment policies.