US tech company fined Rs 32 lakh for posting discriminatory ‘whites only’ job advert

A Virginia-based IT services company was fined $38,500 (Rs 32,11,177) for a job advertisement that sought only US-born white candidates, BBC reported. The discriminatory ad was posted by Arthur Grand Technologies in March 2023 for a business analyst position on the hiring website. It asked in bold letters “Only citizens born in the U.S. [White] who reside within a 60-mile radius of Dallas,” according to a Department of Justice Press release. “Do not share with candidates,” the ad said in brackets.

The announcement sparked outrage on social media and soon gained national attention, prompting the Department of Justice and the Department of Labor to launch an investigation. Arthur Grand is now required to pay $7,500 in civil penalties to the U.S. Treasury, as well as $31,000 in full compensation to people who filed complaints about the incident.

The U.S. Department of Justice announced the penalty, saying the announcement violated federal civil rights and labor laws.

In the settlement, the company said the ad was “generated by a disgruntled recruiter in India and was intended to embarrass the company,” and that it was never intended to dissuade noncitizens from applying.

The company also promised to offer training to all company employees involved in recruiting, screening candidates or following up on expressions of interest for open positions.

“It is shameful that in the 21st century we continue to see employers use “whites only” and “US born only” job postings to block candidates of color who would otherwise be eligible. I share the public’s outrage over Arthur Grand’s appalling and discriminatory ban on job applicants based on citizenship status, national origin, color and race,” said Assistant Attorney General Kristen Clarke of the Civil Rights Division of the Department of Justice. in a statement.

In a statement to CNNthe company’s CEO said he “vehemently denies any blame or wrongdoing.”

”This unauthorized post was made by an upset employee on a Performance Improvement Plan (PIP) from his email address and account. Upon discovering this, we took immediate and decisive action to ensure that this type of incident never happens again, including the immediate dismissal of the employee responsible,” said Sheikh Rahmathullah.