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Home News McDonald’s Agrees To Modify Scholarship Criteria After Legal Challenge

McDonald’s Agrees To Modify Scholarship Criteria After Legal Challenge

by Celia
Mcdonald

McDonald’s has been in the news recently for a lawsuit related to its scholarship program. On January 13, the American Alliance for Equal Rights (AAER) filed a lawsuit against McDonald’s and International Scholarship and Tuition Services, challenging the HACER National Scholarship Program.

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The HACER program, founded in 1985, awards scholarships to students with at least one Hispanic or Latino parent. According to AAER, the program’s criteria unfairly exclude non-Hispanic students from receiving the scholarships. Edward Blum, President of AAER, highlighted this issue in a press release, pointing out discrepancies in McDonald’s civil-rights audit.

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AAER argued that the scholarship’s criteria violate the Civil Rights Act of 1866, specifically Section 1981, which prohibits racial bias and discrimination in contracting. Blum emphasized that the program’s selection process does not align with the principles of equal opportunity.

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On January 31, McDonald’s announced that it had reached a settlement with AAER. The fast-food chain stated that it will modify the criteria for the HACER National Scholarship Program but will not eliminate it. As part of the agreement, AAER will review the scholarship applications for the current year.

McDonald’s received over 3,000 applications from students. The company will now consider applications from students who are involved with the Latino community or can demonstrate their commitment to it.

McDonald’s has long been recognized for its efforts in promoting inclusivity and diversity in its policies. This lawsuit has brought these policies back into the spotlight. While the parties have reached a settlement, McDonald’s has clarified that it will only change the criteria, not eliminate the scholarship program.

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