Colonial Parking, Inc., the largest parking company in Washington, D.C., has entered a conciliation agreement with the Office of Federal Contract Compliance Programs (OFCCP) for charges of discrimination toward African-American employees and applicants. During an OFCCP compliance evaluation, the agency allegedly found Colonial Parking had a practice of discrimination in payment and hiring of African Americans. To resolve these allegations, Colonial Park agrees to pay $250,000 in back pay with interest to affected applicants and employees.
OFCCP Conciliation Agreement & Findings
- African-American valet attendant employees received wages lower than their Hispanic coworkers; on average, African Americans were paid $2,100 less annually than Hispanic employees in the same position, regardless of the location or job assignment.
- OFCCP determined Colonial Parking violated Executive Order 11246, prohibiting federal contractors from discriminating in employment based on color, race, or national origin.
- Colonial agreed to pay $180,194.61 in back wages with interest to 20 African Americans applicants who applied for the project manager positions.
- Colonial will make three project manager job offers to affected applicants.
- Colonial agrees to make pay rate and job grade adjustments.
- 54 Affected African American valet employees will be paid $67,768.21 in back wages with interest.
- Colonial Parking agrees to revise and review its training, compensation, hiring, and other procedures.
Colonial Parking has more than $6.8 million in contracts with the International Trade Commission’s Office of Procurement Operations and U.S. Secret Service. With such significant federal contracts, it is surprising that Colonial Parking, Inc. did not monitor their hiring and pay practices and therefore allowed both hiring and pay discrimination to exist at their company. All federal contractors should be proactive and ensure their affirmative action plan is up to date. They should also conduct equal pay analyses and impact ratio analyses and investigate all indications of adverse impact. Contractors that are proactive and implement and monitor their affirmative action plan efforts will be more prepared in the event of an audit and less likely to face administrative and financial penalties.
If you have any questions regarding the violations faced or requirements discussed in this article or concerning your affirmative action plan requirements, contact Career Resources, Inc.