Accenture agreed to pay $25 million to resolve DOJ discrimination claims tied to federal contracts.
Why it matters: The deal closes a federal False Claims Act case involving workplace hiring and promotion practices at a major government contractor. It also shows how the Justice Department is using contract compliance rules in discrimination disputes.
- Accenture Federal Services, Accenture plc and Accenture LLP agreed to pay the U.S. $25 million.
- The DOJ alleged the company violated anti-discrimination requirements in federal contracts.
- The government said AFS used race- and sex-based workforce summaries with green, yellow and red highlighting to track demographic goals.
- The settlement says Accenture denied the conduct and that the agreement is not an admission of liability.
The Justice Department said Accenture Federal Services, Accenture plc and Accenture LLP agreed to pay the United States $25 million to resolve alleged False Claims Act violations tied to federal contract requirements.
In its complaint, DOJ alleged that AFS falsely certified compliance while discriminating against employees and applicants because of race or sex. The department said the company used monthly workforce summaries with green, yellow and red highlighting to monitor whether business units met non-public demographic goals.
DOJ also alleged that hiring and promotion decisions were shaped by those goals. The complaint said AFS hired additional entry-level employees around the end of 2020 and beginning of 2021 to advance racial representation targets, and gave extra visibility in managing director promotion reviews to candidates who furthered race or sex demographic goals.
The government further alleged that AFS ran the Amplify to Elevate training program from August 2022 to February 2025 and limited participation based on race.
The settlement agreement says Accenture denied engaging in the covered conduct and that the agreement is not an admission of liability by either side. It says $11,627,000 of the settlement is restitution, with the balance made up of civil penalties and interest.
Associate Attorney General Stanley E. Woodward Jr. said opportunity and promotion in the workplace must be earned through merit. Assistant Attorney General Brett A. Shumate said federal contractors have a "straightforward obligation" to make employment decisions without regard to race or sex. The agreement names the U.S. District Court for the Northern District of Illinois as the forum for disputes.
By the numbers
- $25 million - total settlement Accenture agreed to pay
- $11,627,000 - portion of the settlement labeled restitution
- Aug. 2022 to Feb. 2025 - period DOJ says the Amplify to Elevate training program ran
Yes, but: The settlement resolves the allegations without an admission of liability, so the DOJ claims were not adjudicated.
What's next: The settlement agreement allows the Northern District of Illinois to serve as the forum for any disputes, but neither side indicated further public action in the materials provided.