EMPLOYMENT DISCRIMINATION: Black Farmers to Receive $1.25 Billion over Discrimination Claims

February 18, 2010

Washington - Thousands of black farmers will receive $1.25 billion settlement over discrimination claims after the US Department of Agriculture (USDA) has recently agreed to settle their cases.

During a press conference with the media, USDA Secretary Tom Vilsack said the black farmers, who allege that they were discriminated from federal farm loan programs, will receive the settlement after the approval of the US Congress.

In 1999, the agricultural agency has also agreed to pay black farmers with about $1 billion settlement over discrimination claims that were shared by almost 16,000 farmers.

However, Vilsack admitted that thousands more have not received their claims after failing to file their cases before the deadline.

Meanwhile, US President Barack Obama applauded Vilsack’s decision to settle the discrimination claims, adding that he expects a “swift resolution to the issue so that the affected farmers and their families can move on with their lives.”

Obama had previously requested Congress to pass the $1.15 billion funds for the 2010 budget to give awards and debt reliefs to the affected farmers, in addition to the $100 million budget already approved by lawmakers for the 2008 farm bill that aims to facilitate the settlement.

Vilsack said the farmers can receive settlements between $50,000 and $250,000, but added that the actual value of awards may still be reduced based on the number of claims and the amount of funds from the government.

While the payments of claims are expected to begin in 2011, a moratorium on the filing of discrimination suits is expected to last until the completion of the claims process.