Company pays $2M to settle claims it mistreated HR director for hiring women – HR Dive

Report on EEOC Settlement with Glunt Industries and its Implications for Sustainable Development Goals

1.0 Executive Summary

An Ohio-based machining company, Glunt Industries, has agreed to a $2 million settlement in a lawsuit filed by the U.S. Equal Employment Opportunity Commission (EEOC). The case highlights significant failures in upholding key principles of the United Nations Sustainable Development Goals (SDGs), particularly SDG 5 (Gender Equality), SDG 8 (Decent Work and Economic Growth), and SDG 10 (Reduced Inequalities). The settlement addresses allegations of systemic sex-based discrimination, retaliatory actions against human resources personnel, and inadequate workplace facilities, underscoring the critical role of strong institutions (SDG 16) in enforcing non-discriminatory policies.

2.0 Case Details: Glunt Industries vs. EEOC

The lawsuit brought forth by the EEOC contained several serious allegations against Glunt Industries, which the company has denied but agreed to settle. These allegations represent direct contraventions of established labor rights and gender equality principles.

• Systemic Discrimination: The company was accused of systematically denying production jobs to a class of female applicants, a practice that directly undermines SDG 5 (Gender Equality) and SDG 8 (Decent Work).
• Retaliation: An HR Director allegedly faced retaliatory action and less favorable treatment after hiring two female project managers. This action discourages internal efforts to promote gender equality and fair hiring practices.
• Discriminatory Terminations: The two female project managers hired by the HR Director were subsequently terminated and replaced with male employees.
• Inadequate Facilities: The company reportedly failed to provide women’s restrooms on its plant floors, a fundamental issue of workplace decency and a form of sex discrimination that impacts SDG 6 (Clean Water and Sanitation) and SDG 8 (Decent Work).

3.0 Analysis through the Lens of Sustainable Development Goals

3.1 SDG 5: Gender Equality

The core of the case against Glunt Industries is a failure to achieve gender equality and empower women in the workplace. The alleged actions violate several targets within this goal:

1. Target 5.1: The practice of denying women production jobs constitutes a direct form of discrimination against women, which this target aims to end.
2. Target 5.5: By allegedly firing female managers and retaliating against an HR director who hired them, the company actively worked against ensuring women’s full participation and equal opportunities for leadership and economic life.

The failure to provide basic sanitation facilities like restrooms is also a recognized form of gender-based discrimination that creates barriers to women’s participation in the workforce.

3.2 SDG 8: Decent Work and Economic Growth & SDG 10: Reduced Inequalities

The company’s alleged practices also conflict with the goals of promoting inclusive economic growth and reducing inequality.

• SDG Target 8.5: By creating barriers to employment for women, the company failed to promote full and productive employment and decent work for all.
• SDG Target 8.8: The retaliation against an HR professional for upholding fair hiring practices and the lack of safe, secure facilities for female workers violate the mandate to protect labor rights and promote safe working environments.
• SDG Target 10.3: The alleged “male only” preference for certain jobs is a discriminatory practice that directly opposes the goal of ensuring equal opportunity and reducing inequalities of outcome.

4.0 Broader Industry Context and the Role of Institutions (SDG 16)

The Glunt Industries case is not an isolated incident. The EEOC’s recent actions highlight a pattern of sex-based discrimination in various sectors, reinforcing the need for strong institutional oversight as outlined in SDG 16 (Peace, Justice and Strong Institutions).

• An Alabama firm settled for $1.6 million over a “male only” hiring policy.
• A staffing agency paid $875,000 for complying with client requests to hire only male workers.
• A trucking company settled a claim that it refused to hire any qualified female applicants since its inception.

These examples demonstrate the vital function of bodies like the EEOC in upholding Target 16.B: promoting and enforcing non-discriminatory laws and policies for sustainable development. As stated by EEOC Chair Andrea Lucas, “For more than 60 years, sex discrimination in hiring, job assignments, and other employment decisions has been unlawful…failing to provide women with restrooms constitutes sex discrimination as well.” This enforcement is crucial for achieving progress on all related SDGs.

Analysis of Sustainable Development Goals in the Article

1. Which SDGs are addressed or connected to the issues highlighted in the article?

• SDG 5: Gender Equality

  This goal is central to the article, which focuses on systematic sex discrimination against female job applicants and employees. The case of Glunt Industries, which allegedly denied production jobs to women, maintained a “male only” hiring policy, and failed to provide women’s restrooms, directly addresses the core principles of ending discrimination and ensuring equal opportunities for women.

• SDG 8: Decent Work and Economic Growth

  The article connects to this goal by highlighting violations of labor rights and the promotion of unsafe and non-inclusive working environments. The denial of employment based on gender, as seen in the cases against Glunt Industries and other firms, undermines the principle of full and productive employment for all. Furthermore, the retaliation against an HR director for upholding fair hiring practices is a direct violation of protecting labor rights.

• SDG 16: Peace, Justice and Strong Institutions

  This goal is relevant through the actions of the U.S. Equal Employment Opportunity Commission (EEOC). The EEOC acts as a strong institution enforcing national laws against discrimination. The article details how the EEOC’s lawsuits and settlements promote the rule of law and ensure that victims of discrimination have access to justice and legal remedies, such as the $2 million settlement from Glunt Industries.

2. What specific targets under those SDGs can be identified based on the article’s content?

• SDG 5: Gender Equality

  • Target 5.1: End all forms of discrimination against all women and girls everywhere. The article provides multiple examples of this target being violated, such as Glunt Industries allegedly denying jobs to women, another firm maintaining a “male only” hiring policy, and a trucking company that refused to hire qualified female job applicants. The EEOC’s actions are aimed at enforcing this target.
  • Target 5.5: Ensure women’s full and effective participation and equal opportunities for leadership at all levels of decision-making in political, economic and public life. The denial of production and project manager roles to women at Glunt Industries is a direct barrier to their participation and access to equal opportunities in economic life.

• SDG 8: Decent Work and Economic Growth

  • Target 8.5: By 2030, achieve full and productive employment and decent work for all women and men… and equal pay for work of equal value. The article’s focus on companies systematically excluding women from job opportunities demonstrates a failure to achieve full and productive employment for all. The EEOC’s intervention seeks to rectify this by ensuring equal employment opportunities.
  • Target 8.8: Protect labour rights and promote safe and secure working environments for all workers… The retaliation against the HR director for investigating and reporting wrongdoing is a violation of labor rights. Additionally, the failure to provide women’s restrooms constitutes an unsafe and insecure working environment, as noted by the EEOC chair.

• SDG 16: Peace, Justice and Strong Institutions

  • Target 16.3: Promote the rule of law at the national and international levels and ensure equal access to justice for all. The entire article is an example of this target in action. The EEOC, a national institution, is using the legal system to sue companies and secure settlements (e.g., $2 million, $1.6 million) for victims, thereby ensuring they have access to justice.
  • Target 16.B: Promote and enforce non-discriminatory laws and policies for sustainable development. The EEOC’s lawsuits are a direct enforcement of non-discriminatory laws. The statement from EEOC Chair Andrea Lucas that “sex discrimination in hiring… has been unlawful” for over 60 years reinforces the long-standing legal framework being enforced.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

• Indicators for SDG 5 & 8

  • Number of discrimination and retaliation cases filed and settled: The article explicitly mentions several settlements: the $2 million settlement with Glunt Industries, a $1.6 million settlement with an Alabama firm, and an $875,000 payment by a staffing agency. These figures serve as indicators of the extent of the problem and the effectiveness of enforcement actions.
  • Existence of discriminatory hiring policies: The article points to a “male only” hiring policy and instructions in an HR database to not schedule female candidates. The elimination of such policies would be a direct indicator of progress.
  • Provision of gender-appropriate facilities: The specific mention that Glunt Industries “did not provide women’s restrooms on the plant floors” makes the presence or absence of such facilities a clear, measurable indicator of a safe and non-discriminatory work environment.

• Indicators for SDG 16

  • Amount of monetary relief secured for victims: The settlement amounts ($2 million, $1.6 million, etc.) serve as a quantitative indicator of justice being delivered to victims of discrimination.
  • Number of legal actions taken by enforcement bodies: The article’s focus on lawsuits brought by the EEOC implies that the frequency and success of such legal actions are indicators of an institution’s effectiveness in upholding non-discriminatory laws.

4. Summary Table of SDGs, Targets, and Indicators

Source: hrdive.com