Sep 21, 2024

Apple Settles for $25 Million in Discrimination Case

by Lawrence J. Tjan | Nov 12, 2023
Apple Inc Settles for $25 Million in Discrimination Case Photo Source: Nikada/Getty Images

Apple has agreed to a $25 million settlement with the U.S. Department of Justice over allegations of favoring immigrant workers over U.S. citizens and green card holders for specific employment roles. As announced by the Justice Department, this settlement marks the largest of its kind in a citizenship discrimination case.

The main issue revolved around Apple's recruitment practices, which the Justice Department claimed violated federal laws prohibiting discrimination based on citizenship. The allegations stated that Apple did not actively recruit U.S. citizens or permanent residents for positions eligible under the federal PERM program. This process allows employers to sponsor immigrant workers for green cards, a document issued to U.S. permanent residents.

Under the terms of the settlement, Apple is required to pay $6.75 million in civil penalties and an additional $18.25 million to a group of affected workers, the exact number of whom remains unspecified.

In response to the settlement, Apple acknowledged that it had unintentionally failed to adhere to the DOJ's standards. The company emphasized its commitment to rectifying this oversight and complying with government agency requirements, stating, “We have implemented a robust remediation plan to comply with the requirements of various government agencies as we continue to hire American workers and grow in the U.S."

The Justice Department highlighted specific recruitment practices at Apple that raised concerns. Notably, job openings eligible for the PERM program were not advertised on Apple's website as is customary for other positions. Additionally, Apple required paper applications for these roles, diverging from its standard electronic application process. According to the department, these practices resulted in minimal applications from candidates whose work authorization did not expire.

The exact roles affected by these recruitment procedures and how Apple may have benefited were not detailed by the Justice Department.

The settlement also mandates Apple to realign its recruitment strategies for PERM-eligible jobs with its standard practices. This includes broader recruitment efforts and employee training on anti-discrimination laws, ensuring compliance and fairness in its hiring processes.

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Lawrence J. Tjan
Lawrence J. Tjan
Lawrence is an attorney with experience in corporate and general business law, complemented by a background in law practice management. His litigation expertise spans complex issues such as antitrust, bad faith, and medical malpractice. On the transactional side, Lawrence has handled buy-sell agreements, Reg D disclosures, and stock option plans, bringing a practical and informed approach to each matter. Lawrence is the founder and CEO of Law Commentary.