News Release
Abiomed Inc. to pay $57K to resolve alleged gender-based promotion discrimination at Danvers, Massachusetts, headquarters
BOSTON – The U.S. Department of Labor announced today that its Office of Federal Contract Compliance Programs and Abiomed Inc., a federal medical equipment supplier, have entered into a conciliation agreement to resolve allegations of gender-based promotion discrimination at the company’s Danvers headquarters.
A routine OFCCP compliance evaluation for the period from June 1, 2017, to May 31, 2018, found Abiomed Inc. discriminated against female employees by excluding them from the selection and promotion process for clinical educator positions. The agency determined the employer’s actions violated Executive Order 11246, which prohibits federal contractors from discriminating in employment based on race, color, religion, sex, sexual orientation, gender identity or national origin.
To resolve the alleged discrimination, Abiomed will pay $57,000 in back wages and interest to six interested female employees who were excluded from the process for promotion through a “tap-on-the-shoulder” promotion process. Abiomed did not post all openings for the clinical educator positions and made selections without a formal and open process that allowed all employees to apply.
In addition to the back pay and interest, Abiomed has eliminated its alleged discriminatory selection procedures and agreed to maintain procedures for applicant tracking and for the posting of open clinical educator positions, as well as training individuals involved in recruiting, selecting and tracking applicants for the positions.
“Federal contractors must ensure their employment practices comply with federal laws,” said Office of Federal Contract Compliance Programs Northeast Regional Director Diana Sen in New York. “Our compliance reviews look at all selection practices, including promotions, to safeguard equal employment opportunity in the workplace.”
Abiomed Inc. has contracts to provide medical and surgical instruments, equipment and supplies that support U.S. veterans. Since 2019, Abiomed Inc. has held more than $46 million in federal contracts with the U.S. departments of Defense and Veteran Affairs.
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. Together, these laws prohibit employment discrimination.
