Lockheed Martin Pays $29.5M for Discrimination Allegations

Lockheed Martin settles $29.5m discrimination claims after whistleblower alleges bias against white workers in pay decisions.

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Lockheed Martin Pays $29.5M for Discrimination Allegations

Lockheed Martin settles $29.5m discrimination claims after whistleblower alleges bias against white workers in pay decisions.

In brief

Lockheed Martin settles $29.5m discrimination claims after whistleblower alleges bias against white workers in pay decisions. Lockheed Martin agreed to pay $29.5 million to resolve federal allegations of race and sex bias in employment decisions and false compliance with anti-discrimination requirements in federal…

Settlement Announcement

Lockheed Martin agreed to pay about $29.5 million to resolve federal allegations of race and sex bias in employment decisions and false compliance with anti-discrimination requirements in federal contracts.

Alleged Discrimination Practices

The Justice Department alleged Lockheed used race or sex in hiring, promotions, and pay decisions through DEI practices including racial minority quotas for extra pay.

Whistleblower Claim

Whistleblower Claim

Tim Booher, a former Lockheed vice president, filed a suit alleging HR officials instructed replacing 18 white employees with racial minority employees for extra pay.

Compensation Adder Program

Lockheed’s Compensation Adder program, launched in 2021, offered extra raises for up to 20% of employees at each job level with racial and gender checks.

Financial Settlements

Lockheed will pay $22 million to the U.S. under the False Claims Act and $7.5 million to over 1,000 workers under EEOC agreement.

Company Response

Lockheed denied the allegations and stated it settled to avoid prolonged litigation costs and distractions.

The headline

Lockheed Martin agreed to pay $29.5 million to resolve federal allegations of race and sex bias in employment decisions and false compliance with anti-discrimination requirements in federal contracts.

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