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[BUSINESS] · United States · 17 sources

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Deloitte to pay $21.5 million to settle DOJ DEI probe

Deloitte has agreed to pay $21.5 million to settle a U.S. Department of Justice investigation into its diversity, equity, and inclusion (DEI) practices. The settlement, reached through the DOJ’s Civil Rights Fraud Initiative, addresses allegations that the firm violated the False Claims Act by falsely certifying compliance with federal anti-discrimination requirements in its government contracts.

Federal prosecutors alleged that from 2017 onward, Deloitte used internal demographic targets to influence hiring, staffing, and promotion decisions. The DOJ claimed that business units tracked these goals monthly and that the performance of partners, principals, and managing directors was partially evaluated based on their contributions to achieving these workforce composition targets, specifically aimed at increasing Black and Hispanic representation.

The settlement also resolves claims brought by the American Alliance for Equal Rights, a nonprofit led by Edward Blum. Under whistleblower provisions, the group is expected to receive a portion of the recovery.

Deloitte has denied all allegations of discriminatory conduct and stated that the settlement does not constitute an admission of liability. The company noted it chose to resolve the matter to avoid the costs and distractions of protracted litigation.

Entities

American Alliance for Equal Rights · Deloitte · Donald Trump · Edward Blum · Todd Blanche · U.S. Department of Justice

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18 days ago