U.S. Department of Labor and Hewlett Packard Reach Agreement To Resolve Alleged Pay Discrimination Affecting Female Employees

SAN FRANCISCO, CA – The U.S. Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP) has entered into conciliation agreements with Hewlett Packard Inc. (HPI) and Hewlett Packard Enterprise (HPE) to resolve allegations of systemic pay discrimination against 391 female employees in several states. While not admitting liability, the California-based federal technology contractors agreed to pay $1,450,000 in back pay and interest to settle the allegations.

In routine compliance evaluations, OFCCP found disparities in compensation between male and female employees working in similar positions at HPI locations in Boise, Idaho, and San Diego, California, and at HPE sites in Fort Collins, Colorado, and Houston, Texas.

HPI and HPE agreed to provide relief to affected female employees to resolve the preliminary findings. The companies also agreed to conduct compensation self-analyses, and take steps to ensure its personnel practices – including record-keeping and internal auditing procedures – meet legal requirements.

“The U.S. Department of Labor acknowledges these federal contractors’ voluntary involvement in resolving and addressing the preliminary findings we identified,” said the Office of Federal Contract Compliance Programs Pacific Regional Director Jane Suhr in San Francisco, California. “OFCCP procedures offer federal contractors effective methods to ensure equitable pay to employees, enhance internal salary equity reviews and proactively resolve any disparities uncovered as quickly as possible.”

“The Office of Federal Contract Compliance Programs recognizes HPI and HPE’s cooperation to resolve these pay issues,” said Office of Federal Contract Compliance Programs Regional Director Melissa Speer, in Dallas, Texas. “The department is committed to resolving issues by working with proactive employers.”

In addition to Executive Order 11246, OFCCP enforces Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans’ Readjustment Assistance Act of 1974. These laws, as amended, make it illegal for contractors and subcontractors doing business with the federal government to discriminate in employment because of race, color, religion, sex, sexual orientation, gender identity, national origin, disability or status as a protected veteran. In addition, contractors and subcontractors are prohibited from discriminating against applicants or employees because they have inquired about, discussed or disclosed their compensation or the compensation of others subject to certain limitations, and may not retaliate against applicants or employees for engaging in protected activities. These laws also require that federal contractors provide equal employment opportunity through affirmative action. For more information, please call OFCCP’s toll-free helpline at 800-397-6251 or visit https://www.dol.gov/ofccp/.

The mission of the Department of Labor is to foster, promote and develop the welfare of the wage earners, job seekers and retirees of the United States; improve working conditions; advance opportunities for profitable employment; and assure work-related benefits and rights.