CALIFORNIA – The U.S. Department of Labor has announced a significant settlement agreement with Arakelian Enterprises Inc., a waste collection and recycling company in Southern California. This agreement addresses allegations of gender discrimination identified during a review of the company’s federal contracts.
The Office of Federal Contract Compliance Programs (OFCCP) conducted a thorough review of Arakelian Enterprises Inc., operating under the name Athens Services. The investigation, covering the period from July 1, 2017, to June 30, 2018, revealed discriminatory practices against female applicants for operational and laborer positions.
The OFCCP is responsible for enforcing Executive Order 11246, which prohibits federal contractors from employment discrimination based on race, sex, color, religion, sexual orientation, gender identity, or national origin. In the case of Arakelian Enterprises Inc., it was determined that the company systematically discriminated against female applicants in violation of these regulations.
To resolve the allegations, Arakelian Enterprises Inc. agreed to pay $104,658 in back wages and interest to 54 women who were not selected for the positions. Additionally, the company committed to offering 10 job opportunities to female applicants for vacant positions. These measures aim not only to compensate those affected but also to prevent future discrimination within the company.
Arakelian Enterprises Inc. will need to review and revise its hiring processes. This review includes implementing more equitable practices and improving the training of managers and hiring personnel. The goal is to ensure that all employment policies and practices provide equal opportunities regardless of gender.
This settlement agreement between the Department of Labor and Arakelian Enterprises Inc. marks an important step toward eliminating gender discrimination in hiring. Through corrective measures and the reinforcement of inclusive policies, it is hoped that this case will serve as an example for other federal contractor companies.