LabCorp Hit With 525K Settlement Over Hiring Practices

In a case against a LabCorp subsidiary, a global laboratory services provider has settled with the U.S. Department of Labor, agreeing to pay $525,000 in back wages and interest to 13 Asian and 205 black applicants. This settlement follows a routine investigation revealing hiring discrimination at their Indianapolis facility.

Between May 3, 2019, and May 3, 2021, LabCorp was found to have discriminated against 148 Black applicants for kit production assistant positions, 57 black applicants for sample handling assistant positions, and 13 Asian applicants for medical technician positions. LabCorp Central Laboratory Services Inc., which serves the National Institutes of Health, faced accusations under Executive Order 11246, which prohibits employment discrimination based on various factors.

In addition to the financial compensation, the company will extend job offers to 34 black and three Asian individuals affected by the discrimination and ensure discrimination-free hiring policies.

Lessons Learned From the Case:
  • Compliance with equal employment laws is critical, and federal contractors must ensure non-discriminatory hiring practices.
  • The Department of Labor holds companies accountable for discriminatory practices, highlighting the need for proactive prevention and correction.
  • Companies should not only provide financial settlements but also offer job opportunities to affected individuals and implement anti-discrimination policies to foster inclusivity and equity. The settlement also serves as a reminder that when companies do not adhere to the state’s laws, they could face corrective actions that can impact the financial state of the company.

Learn more about Indiana Labor Laws through our detailed guide.

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