The U.S. Department of Labor's Office of the Federal Contract Compliance Programs entered into a conciliation agreement with Ryan Companies US Inc., a federal contractor and Minneapolis-based construction services provider.

"The agreement resolves allegations that the federal contractor's employees faced sexual harassment, a hostile work environment and/or faced retaliatory actions after complaining about harassment and cooperating with federal investigators."

Harassment incidents - physical, verbal, and visual - were determined by OFCCP to be severe and pervasive. Ryan Companies' officials knew of the behaviors, and, in some instances, participated in the harassment.

For several years, employees had complained. The alleged incidents occurred between March 2021 and February 2024 in the Des Moines metropolitan area.

Ryan Companies will pay $350,000 in monetary relief and comply with injunctive relief and routine monitoring.

"Founded in 1938, Ryan Companies US Inc. is a national builder, developer, designer and real estate manager headquartered in Minneapolis and operates offices throughout the U.S. Ryan Companies currently has contracts with the U.S. General Services Administration. Since 2015, the company has held more than $900 million in federal contracts."

"Ryan Companies US to pay $350K to resolve sexual harassment, retaliation at Des Moines metro-area construction projects" dol.gov (Dec. 11, 2024).

Commentary

Sex discrimination, including sexual harassment violates Title VII and Executive Order 11246.

When leaders have knowledge of, or participate in illegal behaviors, the risk increases for the organization, as well as the risk for higher damage awards.

Here are steps your organization can take to help prevent sexual harassment:

• Incorporate into your mission that workplace participants be treated equally, fairly, and respectfully
• Establish policies, procedures, and standards that promote equality, require civility, and respect boundaries and adhere to policies, including policies that prohibit sexual harassment
• Enforce your organization's policies, procedures, and standards, including those that prohibit sexual harassment
• Encourage all workplace participants to report sexual harassment that they view, discover or reasonably suspect is occurring
• Avoid hiring or selecting applicants or workers with a history of sexual harassment
• When hiring require work and personal references and ask the references if the applicant has a history of sexual harassment, sexual harassment complaints, uncivil or disrespectful behavior, and/or ignoring boundaries. If the answer is yes, move onto another applicant
• Review the public social media pages of applicants to determine if they engage others in a civil and respectful manner and if they respect the boundaries of others
• Make certain all workplace participants go through an orientation program, which includes policies prohibiting discrimination and harassment
• Discipline any employee -- regardless of title, status, or duties -- who engages in, encourages, or promotes sexual harassment, is uncivil to workplace participants, and/or ignores boundaries of others and/or the organization
• Discipline any employee -- regardless of title, status, or duties -- who makes a knowingly false claim of sexual harassment
• Make certain all terminations are based on provable and documented objective factors, related to job performance, and not based on subjective, arbitrary, or illegal factors, including terminations for reporting, complaining, and/or providing testimony about sexual harassment
• Make certain that new leadership treats existing employees equally, fairly, and legally prior to hire or transfer and does not have a history of sexual harassment, sexual harassment complaints, uncivil or disrespectful behavior, and/or complaints regarding respecting boundaries of others
• Document all actions related to termination or discipline of workers, including workers accused of sexual harassment
• Require all workplace participants to take sexual harassment prevention training in a language they understand
• Require all workers to take diversity equality and inclusion and civility training in a language the trainee can understand
• Provide several safe and effective means for workplace participants to report sexual harassment
• Consider prohibiting sexual and/or intimate relationships between coworkers
• Clearly communicate, through policies, procedures and postings, the means and process by which workplace participants can report sexual harassment
• Allow for a means by which workplace participants can report sexual harassment anonymously without fear of retaliation
• Investigate all reports and reasonable suspicions of sexual harassment in a thorough, prompt, and objective manner
• Consider the use of third-party investigators for sexual harassment investigations that involve executive management, more than one complainant, charges of sexual assault or abuse or where there is a conflict of interest with investigators that are workplace participants
• Prohibit retaliation against workplace participants who report or complain about sexual harassment or who are involved in investigations regarding sexual harassment

Provide a safe and effective means for workplace participants, who report or complain about sexual harassment or who are involved in investigations