American Tech Company Scrutinized for Discriminatory Job Ad, Faces Penalty After Restricting Candidates to “Whites Only”

Hiring Signage
(Photo : Unsplash/Nick Fewings)

The Justice Department has fined a Virginia-based tech company due to a discriminatory job advertisement restricting candidates to "whites only."

Arthur Grand, an American information technology (IT) services company focusing on government contracts, faces scrutiny after posting a discriminatory job advertisement, which demanded that only white U.S.-born citizens living within 60 miles of Dallas, Texas, should apply.

Tech Company Blaming The Recruiter Over Discriminatory Job Ad

In March 2023, an Arthur Grand Technologies recruiter posted a job advertisement for a business analyst position within the company's sales and insurance claims team on Indeed's recruitment website. The troubling job posting promptly drew attention to explicitly excluding candidates based on race, citizenship status, and national origin.

As per the Justice Department, the job advertisement limited eligible candidates to only "white" U.S.-born citizens who are local within 60 miles from Dallas, TX and had an instruction to not share with other candidates.

According to NBC News, Arthur Grand Technologies responded to the criticism by stating that the discriminatory job advertisement was created by a disgruntled recruiter in India who aimed to embarrass the firm. The company also denied authorizing the posting or intending to discourage non-U.S. citizens from applying.

The Discriminatory Case Verdict

One year later, the DOJ stated that its investigation revealed the company violated the Immigration and Nationality Act by discriminating against potential candidates based on citizenship status and national origin.

Assistant Attorney General Kristen Clarke from the Justice Department's Civil Rights Division strongly condemned the job posting in a press release, expressing disappointment at the continued presence of "whites only" and "only U.S. born" job advertisements that originated in the 21st century.

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Clarke also expressed solidarity with public outrage over Arthur Grand's discriminatory hiring practices based on citizenship, national origin, color, and race, adding that the Justice Department, in collaboration with other government agencies, will persist in holding employers accountable for violating the nation's federal civil rights laws.

Arthur Grand Technologies' Settlement

After an investigation by the Justice Department's Immigrant and Employee Rights Division, Arthur Grand consented to a settlement involving a civil penalty of $7,500 and $31,000 in compensation to individuals who filed complaints with the Department of Labor.

Arthur Grand also pledged to overhaul its hiring procedures, committing to provide training for all company employees engaged in recruiting, candidate selection, or monitoring expressions of interest for open positions. It entered into a separate agreement with the Department of Labor to address the breach of Executive Order 11246, which prohibits discrimination in federal contractors' employment.

Employment Discrimination in Corporate America

This case underscores the persistent challenges in addressing and preventing workplace discrimination. Recent statistics reveal that 61% of employees in the United States have experienced or observed workplace discrimination. Age discrimination, in particular, is also widespread, with 45% of American workers reporting such incidents, while 42% have encountered discrimination based on sex or race in the workplace.

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