Archived News Release — Caution: Information may be out of date.

U.S. DEPARTMENT OF LABOR

ESA Press Release: Birmingham, Alabama Bank Enters Into EEO Settlement Agreement With U.S. Labor Department [10/26/2000]

For more information call: (202) 693-4650

Compass Bank has agreed to pay over $500,000 in back pay, salary adjustments and benefits as part of a conciliation agreement with the U.S. Department of Labor. The agreement settles findings that the company discriminated against qualified minority applicants who applied for teller positions in the Birmingham, Ala.., area. It also settles findings of disparate treatment of female employees whose salaries were less than that of their male counterparts.

"Resolution of this case helps to ensure that all qualified applicants will have equal hiring opportunities, regardless of race or gender," Secretary of Labor Alexis M. Herman said. "Through settlements such as this one, we also are helping to close the wage gap between men and women."

Following a routine corporate management review, the Labor Department's Office of Federal Contract Compliance Programs found that from April 30, 1997 through Oct. 31, 1998, the Birmingham-based financial institution discriminated against 41 qualified minority applicants who were denied entry-level teller positions because of their race. Additionally, the Labor Department found that Compass Bank failed to pay some female employees salaries comparable to those paid to their male counterparts.

As part of the settlement and without admitting any wrongdoing, the bank will distribute $100,000 equally among the 41 rejected applicants and hire 17 into teller positions. Compass Bank will also make annualized salary adjustments of $404,700 to the salaries of certain female employees across all pay scales. These adjustments will be made retroactive to Jan. 1, 2000. Compass Bank will pay interest on the retroactive portion of the adjustments.

Compass Bank, as an issuer and payer of U.S. Savings Bonds, is a federal contractor and is prohibited from discriminating against employees or applicants.

"I commend Compass Bank for being fully cooperative and proactive in resolving these issues and taking steps to ensure that all employees are treated fairly," said Shirley J. Wilcher, deputy assistant secretary for the Office of Federal Contract Compliance Programs.

The Office of Federal Contract Compliance Programs, part of the Labor Department's Employment Standards Administration, enforces Executive Order 11246 and other laws that prohibit employment discrimination by federal contractors. The office monitors federal contractors to ensure that they provide equal employment opportunity without regard to race, gender, color, religion, national origin, disability or veteran status and meet affirmative action requirements.

Archived News Release — Caution: Information may be out of date.