The U.S. Department of Labor and the University of Texas Southwestern Medical Center have reached a conciliation agreement. The university will pay $900,000 in back wages and interest to resolve allegations of systemic racial hiring discrimination at its Dallas facility. This agreement addresses issues affecting 6,123 Black applicants.

An evaluation by the Office of Federal Contract Compliance Programs (OFCCP) found that the hospital's hiring practices allegedly discriminated against Black applicants from August 24, 2016, through August 24, 2018. These practices were in violation of Executive Order 11246, which prohibits federal contractors from employment discrimination based on race, color, religion, sex, sexual orientation, gender identity or national origin.

As part of the agreement, UT Southwestern Medical Center will offer jobs to 132 affected applicants and ensure that its hiring policies do not discriminate. The facility is also required to provide training for managers and supervisors involved in hiring.

"Federal contractors must ensure they are not engaging in discriminatory employment practices. Employers must ensure equal employment opportunities and nondiscrimination in hiring for all applicants," stated Ronald W. Sullivan II, OFCCP's Southwest and Rocky Mountain Regional Director.

The University of Texas Southwestern Medical Center employs around 23,000 individuals and provides medical education and clinical care services. It holds contracts with the Department of Veterans Affairs and has received over $90 million in federal contracts since 2013.

OFCCP has introduced the Class Member Locator to identify those affected by compliance evaluations or complaint investigations who may be entitled to monetary relief or job placement consideration. 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—laws that collectively prohibit employment discrimination by federal contractors.