Lockheed Martin to pay $29.5 million to settle DOJ and EEOC discrimination claims

Lockheed Martin agreed to pay about $29.5 million to resolve allegations that its diversity programmes discriminated on the basis of race and sex. The settlement consists of $22 million to the U.S. government under the False Claims Act and roughly $7.5 million to more than 1,000 employees under an EEOC agreement. The company denies wrongdoing and the settlement does not constitute an admission of liability. The deal also requires Lockheed to maintain merit‑based employment practices and allows the EEOC to monitor compliance.

The $29.5 million cash outlay reduces Lockheed’s near‑term earnings and may affect cash flow. The ongoing compliance obligations could increase administrative costs for the contractor and expose it to future enforcement risk.

  • 1Lockheed Martin will pay about $29.5 million to settle the claims.
  • 2The settlement includes $22 million payable to the United States under the False Claims Act.
  • 3Approximately $7.5 million will be paid to more than 1,000 affected Lockheed employees under a separate EEOC agreement.
  • 4The $22 million includes $10 million in civil penalties and restitution, with interest accruing at 4 % per year from 5 October.
  • 5Former vice‑president Tim Booher will receive $4.4 million plus a share of interest as part of the settlement.
  • 6The settlement was announced on 3 November 2026.

Sources