The Justice Department claimed IBM’s employment practices considered race or sex in violation of federal contract rules.
WASHINGTON — International Business Machines Corporation (IBM) agreed to pay more than $17 million to resolve allegations that it violated federal anti-discrimination requirements tied to government contracts, the Justice Department announced.
The $17,077,043 settlement marks the first resolution under the Civil Rights Fraud Initiative, launched in May 2025 by Acting Attorney General Todd Blanche. The initiative targets companies accused of violating civil rights laws while receiving federal funds.
Federal officials alleged IBM failed to comply with anti-discrimination provisions required in government contracts, which mandate that contractors do not
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