A Virginia Tech Company Is Being Fined Over Discriminatory “Whites Only” Job Post

One viral job post advertising for “white” candidates only has led to a civil lawsuit against the company that posted it.

Tech Company vs. DOJ

Image Credit: Shutterstock / RomanR

A tech company based in Virginia is facing civil penalties via the US Justice Department, after circulating a job post that called for only “white” candidates.

A Controversial Job Post

Image Credit: Shutterstock / GaudiLab

Arthur Grand Technologies, an information technology services firm based in Ashburn, Virginia, went viral in March 2023 due to their job advertisement, which was posted on the job-seeking and recruitment site Indeed.

Advertising a New Position

Image Credit: Shutterstock / larisa Stefanjuk

The company was seeking a new business analyst for their sales and insurance claims team. But what really stirred up concern was a ‘note’ on the job description.

“US Born Citizens [White]”

Image Credit: Shutterstock / fizkes

“Note: US Born Citizens [white] who are local within 60 miles from Dallas, TX [Don’t share with candidates]”, the description reads. 

Spreading Through the Internet

Image Credit: Shutterstock/ GaudiLab

The post was circulated online due to its racial overtones, eventually prompting an investigation by the US Department of Labor and DOJ, with investigations beginning in April and May respectively. A lawsuit was then filed against the company.

Close to $40,000 in Fines

Image Credit: Shutterstock / vitma

Now the firm has agreed to settle, according to a statement from the DOJ on Thursday. Arthur Grand Technologies will pay a civil penalty of $7,500, as well as an additional $31,000 in compensation for the 31 jobseekers who laid a formal complaint after reading the post.

Compliance Checks and Company Changes

Image Credit: Shutterstock / Krakenimages.com

The company will also undergo compliance monitoring to ensure that the company reforms its hiring practices and does not violate anti-discrimination laws for a second time. 

Laws and Orders

Image Credit: Shutterstock / Andrey_Popov

The dual investigations found that Arthur Grand Technologies had violated the Immigration & Nationality Act, as well as an executive order that barred federal contractors from discrimination against protected groups.

Committed to Holding Them Accountable

Image Credit: Shutterstock / Sergey Nivens

“We are committed to holding federal contractors accountable for outrageous discriminatory practices like this advertisement,” said Michele Hodge, the Acting Director of the Labor Department’s Office of Federal Contract Compliance Programs (OFCCP).

No “Whites Only” Hiring Processes

Image Credit: Shutterstock / fizkes

“Companies like Arthur Grand, that accept federal contracts, cannot have a ‘whites only’ hiring process,” she continued.

“Shameful” and “Appalling”

Image Credit: Shutterstock / Heidi Besen

Kristen Clarke, the Attorney General of the Justice Department’s Civil Rights Division, announced the resolution to the case, calling the incident “shameful” and “appalling.”

Sharing the Public Outrage

Image Credit: Shutterstock / Pickadook

“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,” Clarke wrote. “I share the public’s outrage at Arthur Grand’s appalling and discriminatory ban on job candidates based on citizenship status, national origin, color, and race.”

Company Contradicts Labor Department

Image Credit: Shutterstock / Nicole Glass Photography

While the Labor Department also claimed that Arthur Grand had not admitted or denied any legal violations, the company itself has a different story to tell. 

Arthur Grand “Vehemently” Denies It

Image Credit: Shutterstock / Rawpixel.com

In an email to reporters, CEO Sheik Rahmathullah made it clear that the company “vehemently denies any guilt or wrongdoing in relation to the discriminatory job posting that appeared in March 2023.”

Pinned on a Rogue Employee

Image Credit: Shutterstock / Andrii Iemelianenko

 Rahmathullah went on to blame the discriminatory post on a rogue employee who had been “upset” with the company. 

“Made by An Upset Employee”

Image Credit: Shutterstock / Perfect Wave

“This unauthorized posting was made by an upset employee on a Performance Improvement Plan (PIP) from their personal email address and account,” he continued. “Upon discovering this, we took immediate and decisive action to ensure that this type of incident will never happen again, including the immediate termination of the responsible employee.”

Complainants Required to Sign

Image Credit: Shutterstock/ fizkes

Part of their agreement with the Labor Department stipulates that all 31 people who formally complained in the case will have to sign a document with the words: “I understand that AGT denies that it treated me unlawfully or unfairly in any way.”

Other Violations Found

Image Credit: Shutterstock / jdwfoto

In their investigations, the Labor Department also discovered that the technology firm had violated several separate labor requirements.

Two Serious Oversights

Image Credit: Shutterstock / Ground Picture

These included a failure to document the demographic traits of their job applicants, and a failure to display a notice of workers’ equal employment opportunity rights in visible areas around the workplace.

Minority-Owned Company

Image Credit: Shutterstock / Harbucks

Despite the racial discrimination suit filed against them, Arthur Grand Technologies is a minority-owned company, with 80% of staff being “people of color” according to Rahmathullah.

Remote No More: 19 Companies Returning to the Office

Image Credit: Shutterstock / Monkey Business Images

As the pandemic wanes, companies are recalling remote workers back to the office, sparking debates on fairness, costs, and convenience. However, there are also notable productivity, coworking, and mental health benefits to consider. Feeling the effects of these changes? Remote No More: 19 Companies Returning to the Office

8 Costco Must Buys and 8 to Leave Behind

Image Credit: Pexels / Gustavo Fring

Ever wandered Costco’s aisles, questioning if that giant jar of pickles is a real bargain? Or debated buying tires where you get your rotisserie chicken? Welcome to the definitive guide to Costco shopping—a journey to save money, prevent regrets, and offer quirky insights into bulk buying. 8 Costco Must Buys and 8 to Leave Behind

23 Reasons Texas Is the Next Big Thing

Image Credit: Shutterstock / Sean Pavone

Texas is becoming a beacon of opportunity, blending cultural heritage with economic growth. From its landscapes to its industries, the Lone Star State offers a dynamic lifestyle. Here are 23 reasons why Texas stands out, attracting entrepreneurs, artists, tech professionals, and families seeking new beginnings. 23 Reasons Texas Is the Next Big Thing

15 Top Sites to Sell Your Unwanted Goods Besides Craigslist

Image Credit: Shutterstock / GaudiLab

Selling your unwanted items can declutter your space and boost your income. While Craigslist is popular, there are many alternatives with unique features and wider audiences. Explore these 15 Craigslist alternatives for selling everything from furniture to electronics, finding the perfect platform to turn clutter into cash. 15 Top Sites to Sell Your Unwanted Goods Besides Craigslist

Work from Anywhere: 19 Companies Still Supporting Remote Work

Image Credit: Shutterstock / insta_photos

Tired of commuting and craving work flexibility? You’re not alone. Many companies now offer remote work, benefiting both employees and employers. Ever wondered how this shift could enhance your work-life balance? Work from Anywhere: 19 Companies Still Supporting Remote Work

The postA Virginia Tech Company Is Being Fined Over Discriminatory “Whites Only” Job Post first appeared on Liberty & Wealth.

Featured Image Credit: Shutterstock / LightField Studios.

The content of this article is for informational purposes only and does not constitute or replace professional financial advice.

Leave a Comment