Tyson Foods Inc. Agrees to Pay $1.5 Million in Back Pay

for Hiring Discrimination

More than 2500 Minorities and Women Benefit from U.S. Labor Department Action

WASHINGTON — The U.S. Department of Labor's Office of Federal Contract Compliance Programs (OFCCP) announced today that Tyson Foods Inc., headquartered in Springdale, Ark., has entered into six consent decrees to settle findings of hiring discrimination. More than 2500 women and minorities will receive a total of $1.5 million in back pay.

"This settlement of $1.5 million in back pay for 2500 minorities and women should be a wakeup call to all federal contractors," said Secretary of Labor Elaine L. Chao. "This administration is strongly committed to ensuring that all Americans are hired, promoted, and compensated fairly. Failure to comply with workplace discrimination laws could be a very expensive mistake."

The consent decrees, filed with the Labor Department's Office of Administrative Law Judges, were a result of separate compliance evaluations of six company facilities in Arkansas and Oklahoma. Periods under review ranged from 2002 through 2004, depending on the facility.

OFCCP issued findings that Tyson discriminated against 1354 rejected female applicants for entry-level laborer positions at three Tyson chicken processing plants in Van Buren, Clarksville and Berryville, Arkansas. The agency also found that Tyson discriminated against 998 rejected minority applicants for entry-level laborer positions at chicken processing plants in Grannis, Ark. and Broken Bow, Okla., and discriminated against 225 rejected minority applicants for long haul driver positions at Tyson's long haul terminal in Springdale, Ark.

"We strongly encourage other employers to take proactive steps to come into compliance with the law to prevent workplace discrimination," said OFCCP Deputy Assistant Secretary Charles E. James, Sr., who noted that Tyson was cooperative during the review and subsequent conciliation.

Under the terms of three consent decrees, Tyson will pay a total of $695,000 in back pay and interest to rejected female applicants for laborer jobs at the Van Buren, Clarksville and Berryville sites, and will provide employment for 267 laborer positions to those female class members.

Under two other consent decrees, Tyson will pay $340,000 in back pay and interest to rejected minority applicants for entry-level laborer jobs at the Grannis and Broken Bow sites, and will hire 105 of those minority class members into laborer positions.

Under the terms of the last consent decree, Tyson will pay $465,000 in back pay and interest to minority applicants for long haul driver positions at the Springdale long haul terminal and will hire 104 minority class members into long haul driver positions. As a part of the consent decree, Tyson will provide retroactive seniority to all the female and minority class members hired.

The company has also agreed to immediately correct all discriminatory practices and to undertake extensive self-monitoring measures for two years to ensure that all hiring practices fully comply with the law.

OFCCP, an agency of the U.S. Department of Labor's Employment Standards Administration, enforces Executive Order 11246 and other laws that prohibit employment discrimination by federal contractors. The agency monitors federal contractors to ensure that they provide equal employment opportunities without regard to race, gender, color, religion, national origin, disability or veterans' status.

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