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Second Chicago-Area EEOC Sexual Harassment Settlement In A Month

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Many EEOC cases involve sexual harassment claims. The EEOC is anxious to resolve these cases, and that attitude sometimes works in the defendant’s favor.

On June 25, 2017, the Equal Employment Opportunity Commission announced that Anchor Staffing would pay $30,000 to settle sexual harassment and retaliation allegations. Court documents state that the temporary agency refused to give Ana Magdana more work after she complained about sexual harassment. In addition to paying money, Anchor Staffing must abide by a two-year consent decree.

About a month earlier, the EEOC announced a similar settlement with a Downers Grove Burger King franchise. Heartland Food LLC agreed to pay $55,000 and furnish similar non-monetary relief to resolve sexual harassment claims. The agency said little about that case, besides the fact that a female employee complained about a male manager.

“These two cases are significant for two reasons,” offered Chicago employment attorney Jonathan Goldman. “First, these settlements are not big dollar amounts for big companies. But for regional businesses and small franchisees, $50,000 may be almost a year’s profits. Second, the government is very aggressive in sexual harassment cases, largely because they are easy to prove.”

The Anchor Staffing settlement did not even involve sexual harassment, Mr. Goldman noted. Instead, the EEOC pursued a retaliation claim. As a result, the agency does not need to prove sexual harassment, age discrimination, or anything else. It simply must establish that the defendant took some action against the employee because of the complaint.

Generally, the EEOC need only establish a temporal relationship. If the complaint was on June 1 and the action was on June 15, an employer will be hard-pressed to defeat a retaliation claim. So, we take a very proactive approach and try to resolve these cases as quickly and cheaply as possible.

Details were so sketchy with regard to the Burger King settlement because the employer probably included a confidentiality clause in the settlement, Mr. Goldman speculated. In many cases, the EEOC insists on a slightly larger monetary settlement before it agrees to such a clause. But in many cases, such language is worth a little extra money.

A confidentiality clause makes the EEOC’s evidence appear weak. The bellicose quote in the press release, which is something like “that company got what it deserved,” then seems rather empty. Furthermore, it is easier for the defendant to characterize the settlement as a business decision. That’s normally the case, because it would cost a lot more than $30,000 or $50,000 to litigate such a claim. Furthermore, if anyone presses the company for details, the spokesperson simply cites the confidentiality clause and drops the matter. Contact us today at 312.332.6733 to discuss your case.