updated 1/26/2007 5:39:12 PM ET 2007-01-26T22:39:12

Target Corp. will pay $775,000 to 14 black workers to settle discrimination complaints filed by federal civil rights monitors.

The Minneapolis-based retail giant must also train managers and supervisors at its store in Springfield, Pa., about the company’s equal employment opportunity policies, according to the settlement announced Friday by the U.S. Equal Employment Opportunity Commission.

The commission accused Target of violating federal civil rights regulations by “creating and condoning a racially hostile work environment” for a group of black workers at the suburban Philadelphia store beginning in July 2003, according to an agency press release.

The agency said Michael Hill, then training to become a manager, and 13 other workers were “subjected to racial harassment by a white store manager, and Hill resigned in September 2004 due to “negative health effects of the discrimination” and a lack of response to his internal complaints.

Only one of the 14 workers still works for Target, commission attorney Terrence Cook said Friday.

Target, in a statement Friday, said that allegations in Springfield were investigated promptly, but the company could not substantiate the claims.

“While Target vigorously continues to deny the EEOC’s allegations, the settlement was reached to resolve issues raised by the complaint without the time and expense of further contested litigation,” the company said.

Target said its Springfield store “has a diverse management team in place,” and vowed to reinforce policies and procedures there “to further prevent and report this kind of activity.

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