Daikin pays $100,000 for alleged race-based discrimination

USA: Daikin Industries has reached a $100,000 conciliation agreement with the US Department of Labour to resolve alleged race-based hiring discrimination affecting black applicants at its Verona, Virginia, facility.

Under the agreement, Daikin will pay $100,000 in back wages and interest to 98 black applicants. Daikin will also extend three job offers to identified class members. 

A routine compliance review by the US Department of Labour’s Office of Federal Contract Compliance Programs (OFCCP) found Daikin Industries discriminated against 98 black applicants for assembler positions at its Daikin Applied Staunton facility from 1 January 2020 to 31 December 2020.

The OFCCP determined that Daikin Industries actions violated executive order 11246 which prohibits federal contractors from discriminating in employment based on race, colour, religion, sex, sexual orientation, gender identity, or national origin. 

“Federal contractors that accept taxpayer funds to fulfil contracts know that equal employment opportunity and compliance with federal regulations are non-negotiable,” said OFCCP regional director Samuel B Maiden in Philadelphia.

Daikin has contracts with the General Services Administration to provide federal agencies with HVAC equipment. 

The company was contacted for comment.