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KRT UNDER FIRE OVER ITS HIRING PRACTICES

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An office of the U.S. Department of Labor wants to prevent KRT Drywall/Acoustical, 1375 W. 200 North, from getting any federal contracts for 210 days and cancel any contracts the company has in a dispute over hiring practices.

Officials of the Office of Federal Contract Compliance Programs has filed an administrative complaint against the company, which it accuses of violating a conciliation agreement entered into in June 1992 and for misstatements regarding its hiring activity.OFCCP is requesting that the company seek out and provide jobs and back pay to individuals who would have been referred from community organizations during the period of the conciliation agreement.

Erin Milligan, company controller who admits being "fairly new" on the job, said the former controller failed to brief him on some hiring requirements. Even so, Milligan said, the company is in complete compliance.

He said the federal officials are complaining about lack of hiring of American Indians and women, but he looked at the employment records and found the company has hired Indians and women and one employee was an Indian woman.

Milligan said he is seeking a speedy resolution of the complaint and talked to a senior attorney for the federal agency. The attorney agreed to a settlement, but office officials declined, he said.

Shirley Wilcher, head of the OFCCP, said KRT entered into conciliation agreement in June 1992 and agreed to contact several "linkage" organizations-groups engaged in outreach to various minority and women groups in the community, seeking referralcs to assist the company in meetings its affirmative action obligations.

She said KRT also agreed to provide OFCCP with two personnel activity reports at six-month intervals, indicating the number of openings, applications, hires and contacts made with linkage organizations.

OFCCP employees told KRT officials their first personnel activity report was untimely and said it failed to seek referrals from linkage organizations. While hires had been made during the six-month reporting period, KRT failed to make good faith efforts to recruit and employ female and minority applicants, Wilcher said.

In a second report, KRT indicated that it had no hiring activity in the previous six months.