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Publish Date : 30-Sep-2013

Baltimore Gas and Electric Company (BGE) signed a conciliation agreement with the U.S. Department of Labor, Office of Federal Contract Compliance Programs (OFCCP). The agreement settles a finding by the OFCCP that minority applicants were underrepresented in hiring for three specific utility trainee job categories between December 2007 and November 2008 following a random 2009 audit of 232 BGE job categories. Under the settlement, BGE has agreed to provide a total of $350,000 in back pay, interest and value of benefits to up to 58 minority applicants who were not selected for utility trainee positions between December 2007 and November 2008. Additionally, BGE will hire up to six utility trainees from the applicant group.

"BGE has a longstanding belief that diversity in both our workforce and our network of suppliers helps us to better serve our customers," said Kenneth W. DeFontes Jr., BGE president and CEO. "Our hiring for three out of 232 job categories in 2007 and 2008, which was the focus of the OFCCP finding, did not reflect this. During this time period, the company relied heavily on employee referrals as a way to quickly identify candidates for key technical positions. Lower minority hiring in those three job categories was an unintended and unfortunate consequence of doing so. BGE has taken aggressive steps to overhaul our hiring practices to ensure all candidates are reviewed fairly. Any barrier to equal opportunity employment is unacceptable to us."

By the time of the audit, BGE had implemented a number of process improvements to ensure all applicants receive fair and consistent consideration for employment opportunities. Included among the improvements was the reorganization of the business units responsible for hiring trainees into a single utility training unit with a centralized application and interview process. The company also invested in improved applicant management software and the expansion of employee diversity and inclusion training. These initiatives enhance BGE's ability to identify potential gaps in hiring practices.

As a result of improvements made by BGE, today more than 30 percent of utility trainees hired are minority applicants, compared to the 8 percent hired for the three utility trainee job categories during the 2007-2008 timeframe. In addition, approximately 30 percent of BGE's overall hires today are minority candidates, which is more reflective of the communities BGE serves and of BGE's overall diverse workforce. BGE's efforts have been verified by an external vendor.

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