Key facts
- Accenture will pay $25 million to settle U.S. government allegations over diversity practices.
- The settlement resolves claims that Accenture considered race and sex in hiring and promotion decisions.
- Accenture Federal Services allegedly falsely certified compliance with anti-discrimination requirements in federal contracts between 2017 and 2026.
- Accenture Federal Services allegedly used demographic summaries to inform hiring decisions.
- Accenture Federal Services allegedly limited participation in training programs based on race or sex.
Accenture has agreed to pay $25 million to the U.S. government to settle allegations that it discriminated against employees and applicants based on race or sex between 2017 and 2026. The Department of Justice announced the settlement on Monday, stating that Accenture Federal Services (AFS) allegedly failed to comply with anti-discrimination requirements in federal contracts.
The agency accused Accenture of considering race or sex in hiring and promotion decisions. Allegations included that AFS gave candidates for promotion to managing director "extra visibility" if they advanced race or sex demographics, and that business unit leaders received monthly summaries of specific percentages of each race and sex within their units to inform hiring decisions.
An Accenture spokesperson stated that the company complies with applicable laws and that the resolution does not constitute an admission of liability. "We have cooperated with the government's review, and we are pleased to put this matter behind us to avoid the costs and resource demands of prolonged litigation," the spokesperson said.
Accenture is the third major consultancy to reach a settlement this year as part of the Department of Justice's Civil Rights Fraud Initiative. In April, IBM agreed to pay $17 million, and in August, Deloitte paid $21.5 million for similar allegations. Altogether, the three firms have paid out $63.5 million.