Security Provider Agrees to Pay $375,000 to Resolve Hiring Discrimination Allegations
Loomis Armored US LLC allegedly discriminated against 355 Black male and female job applicants and 181 other female applicants when hiring for cash management service teller positions at a Houston, Texas, facility, a compliance evaluation from the U.S. Department of Labor (DOL) found.
Loomis had federal contracts with the Bureau of Engraving and Printing, Internal Revenue Service (IRS), U.S. Department of Veterans Affairs, the National Park Service, and the Defense Commissary Agency during the period in question—3 April 2017 through 2 April 2019. This meant the company’s hiring practices were required to follow Executive Order 11246, which prohibits federal contractors from discriminating in employment based on race, sex, color, religion, sexual orientation, gender identity, or national origin.
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The review by the DOL, however, allegedly found that Loomis failed to keep and preserve "complete and accurate personnel and employment records," specifically those related to its applicant-to-hire process, according to the settlement agreement. The company was also charged with failing to compare the percentage of minorities and women in each job group with the minority and female availability for those job groups, a requirement under the executive order.
Additionally, Loomis allegedly failed to establish minority placement goals for positions, did not annually review the effectiveness of its outreach and recruitment efforts to identify and recruit qulaified protected veterans and individuals with disabilities, and failed to invite its employees to voluntarily self-identify as an individual with a disability using federally-approved forms.
As part of the agreement, Loomis did not admit any violation of the executive order, but the company agreed to pay $375,000 in back wages to 536 job applicants and to revise its recruiting and selection procedures to better meet legal requirements. Loomis will also extend job opportunities to 24 affected Black and female applicants, the DOL said.
Loomis will also provide the DOL Office of Federal Contract Compliance Programs with a report covering all of 2022 that contains job applicant data (including application date, gender, race, ethnicity, job title applied for, and applicant disposition), hiring data (including gender, race, ethnicity, job title, and date of hire), and documentation that Loomis invited employees to voluntarily self-identify as individuals with disabilities at least once every five years.
“Our agreement with Loomis Armored US LLC will resolve alleged violations discovered in a routine compliance audit, compensate affected job applicants, and ensure the employer complies with federal hiring and employment laws,” said Office of Federal Contract Compliance Programs Regional Director Melissa Speer in Dallas, according to the DOL news release.
Security Management has reached out to Loomis for comment on the settlement. This story will be updated when we receive a response to our request.