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GFS is one of North America's largest food distribution companies with more than 170 U.S. locations. In addition to its government contracts, the company supplies restaurants, schools, universities and hospitals.

(Courtesy photo)

Update: How Gordon Food Service's internal data led to $1.8M gender bias fine

WYOMING, MI -- Gordon Food Service will pay $1.85 million in back wages and benefits as part of a settlement with the federal government for discriminating against female applicants.

Federal investigators found GFS "systematically discriminated" against 926 qualified women seeking entry-level warehouse laborer jobs at sites in Brighton and Grand Rapids, Michigan; Kenosha, Wisconsin; and Shepherdsville, Kentucky.

While not admitting guilt, the Michigan food distributor agreed to pay a total of $1.85 million to female applicants, hire 37 women in warehouse operations and stop using a strength test that is considered to be discriminatory.

It's the second time in less than a decade the Michigan-based food distributor has been sanctioned by U.S. Department of Labor's Office of Federal Contract Compliance Programs for hiring discrimination at its warehouses. The most recent investigation found the unlawful practices at twice as many facilities as in 2007.

The family-owned company, headquartered in the Grand Rapids suburb of Wyoming, is a federal food service contractor.

Gordon Food Service told MLive and The Grand Rapids Press that the West Michigan company has made changes to its hiring process to "ensure a fair and objective process that eliminates the presumption of bias."

The women affected by the alleged discrimination reside primarily in Illinois, Indiana, Kentucky, Michigan and Wisconsin.

Investigators determined the company's discriminatory hiring practices resulted in the hiring of only six females while GFS hired nearly 300 males throughout the investigation period, from January 2010 to September 2012.



GFS, which provides products to the U.S. Departments of Defense and Agriculture and to the Federal Prison System, has entered into three conciliation agreements to resolve the discrimination findings.

Since 2010, GFS has won nearly $4.5 million in federal contracts to provide perishable and non-perishable foods.

"Too often we find 'tests' like the one used in this case that exclude workers from jobs that they can in fact perform," said Patricia A. Shiu, director of the U.S. Department of Labor's Office of Federal Contract Compliance Programs, in a statement. "In this case, women were denied good-paying jobs. We are making sure that these women are compensated and that some are able to get the work they sought when positions become available."



In 2007, GFS settled charges of sex discrimination in hiring for similar entry-level labor jobs at its Grand Rapids and Brighton warehouses. In that case, the company provided $450,000 in back pay and interest to the affected women.



GFS is one of North America's largest food distribution companies with more than 170 U.S. locations. In addition to its government contracts, the company supplies restaurants, schools, universities and hospitals.



OFCCP enforces Executive Order 11246, Section 503 of the Rehabilitation Act of 1973, and the Vietnam Era Veterans' Readjustment Assistance Act of 1974.

Collectively, these laws make it illegal for contractors and subcontractors doing business with the federal government to discriminate in employment on the basis of race, color, religion, sex, sexual orientation, gender identity, national origin, disability or status as a protected veteran.

Contractors and subcontractors are also prohibited from discharging or discriminating against applicants or employees who inquire about, discuss or disclose their compensation or that of others, subject to certain limitations.



The federal agency is looking for more women who believe they were discriminated by GFS, and may be eligible for a portion of the settlement. Those impacted would have applied for a position at one of the designated facilities of Gordon Food Service, Inc., between January, 2010, and September, 2012.

More information about how to file a claim is available at dol.gov/ofccp/CML/index.htm or by calling 877-716-9783.

Shandra Martinez covers business and other topics for MLive. Email her or follow her on Twitter @shandramartinez.