A Virginia-based tech company will pay thousands of dollars in fines for a job posting that requested “whites only” to apply.
The Justice and Labor departments have fined minority-owned federal contractor Arthur Grand Technologies Inc. a civil penalty of $7,500. The departments also ordered the federal contractor to pay $31,000 overall to 31 people who complained about the posting.
“It is shameful that in the 21st century, we continue to see employers using ‘whites only’ and ‘only US born’ job postings to lock out otherwise eligible job candidates of color,” Kristen Clarke, assistant attorney general of the Justice Department’s Civil Rights Division, said in a statement.
The company began advertising for a Salesforce business analyst and insurance claims position based in Dallas in March 2023. In its job posting, the company restricted eligible candidates to “only US Born Citizens [white] who are local within 60 miles from Dallas, TX [Don’t share with candidates].”
The posting drew outrage on social media, and the Justice Department opened its investigation. The company denied approving the posting and claimed it was posted by an employee working for its subsidiary in India.
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The Justice Department said the listing violated the Immigration and Nationality Act, and the Labor Department said the company violated an executive order barring federal contractors from discriminating based on race, national origin and other protected characteristics.
“We are committed to holding federal contractors accountable for outrageous discriminatory practices like this advertisement,” said Michele Hodge, acting director of the Department of Labor’s Office of Federal Contract Compliance Programs. “Companies like Arthur Grand, that accept federal contracts cannot have a ‘whites only’ hiring process.”
The departments said Arthur Grand’s actions harmed individuals with permission to work in the U.S., including U.S. citizens born outside the country and certain non-U.S. citizens.
In addition to the fines, the company will now be monitored to ensure compliance with anti-discrimination laws. It is also required to train its employees on the Immigration and Nationality Act’s requirements and to revise employment policies.