Lockheed Martin will pay $29.5 million under a two-part settlement with the U.S. Department of Justice and the Equal Employment Opportunity Commission, the agencies said. The deal was reached earlier this week. The U.S. Attorney's Office for the Northern District of Texas joined the effort, citing the state's role as a major operational and manufacturing hub for the company.
Lockheed will pay $22 million to the U.S. over allegations that it falsely certified compliance with anti-discrimination requirements on federal contracts, in violation of the False Claims Act. The government said the company discriminated against employees and applicants based on race or sex. Tim Booher, a former Lockheed vice president, will receive $4.4 million as the whistleblower. Another $7.5 million will go to more than 1,000 employees, according to the EEOC's claims under Title VII of the Civil Rights Act.
EEOC Chair Andrea Lucas said the settlement resolves a 2025 commissioner's charge alleging race discrimination against white employees, including through performance assessments and compensation decisions. The Justice Department said the allegations cover 2019 to the present. U.S. Attorney Ryan Raybould said companies that receive government contract money "must play by the rules."