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EEOC alleges Sheetz unlawfully denied Indigenous and Black candidates employment due to criminal records

The U.S. Equal Employment Opportunity Commission (EEOC) has alleged that Sheetz, a Maryland-based company, engaged in discriminatory hiring practices that disproportionately affected American Indian/Alaska Native, Black, and multiracial applicants. The EEOC complaint, filed on April 17, accuses Sheetz of maintaining a longstanding practice of screening out candidates with prior involvement in the justice system, including convictions and more.

According to the complaint, Black candidates experienced a significant disparate impact from Sheetz’s criminal justice history probes, with a disproportionately high number of Black applicants being refused employment compared to White applicants. The background check vendor’s records revealed failure rates of over 14.5% for Black applicants, 13% for Indigenous candidates, and about 13.5% for multiracial candidates, whereas White applicants had a failure rate below 8%.

Sheetz has denied the allegations, emphasizing its commitment to diversity and inclusion and stating that it does not tolerate discrimination. The company indicated that it had attempted to work with the EEOC for nearly eight years to resolve the dispute and intends to address the claims in court.

The timing of the claim coincides with Second Chance Hiring Month, as noted by the U.S. Department of Justice. For employers interested in hiring qualified workers with criminal records, talent experts recommend inclusive HR policies and viewing background checks as one part of a candidate’s overall human experience, rather than a sole determining factor.

EEOC Regional Attorney Debra M. Lawrence emphasized that federal law mandates the necessity for employment practices causing disparate impact to be justified by employers and highlighted the importance of considering alternative practices that are comparably effective but cause less discriminatory effects.