Retaliation Claims Recognized: Employees Victimized by Discrimination Gain Victory Before Supreme Court

Employees recently scored two major victories before the United States Supreme Court. Both cases involved allegations of workplace discrimination. In each case, the Supreme Court recognized an employee’s right to bring claims for retaliation where reports of unlawful discrimination result in a backlash by the employer.

In Gomez-Perez v. Potter, Myrna Gómez-Pérez worked as a clerk for the United States Postal Service in Puerto Rico. During her employment, Gómez alleged that she was subject to retaliatory treatment after filing an age discrimination complaint against her supervisors under the Age Discrimination in Employment Act (ADEA). The federal district court of Puerto Rico granted summary judgment to USPS, reasoning that the United States had not waived sovereign immunity as to retaliation claims under the ADEA. Gómez appealed to the First Circuit Court of Appeals, which disagreed on the sovereign immunity issue but dismissed the retaliation on the basis that the ADEA does not recognize such claims by federal employees.

In CBOCS West, Inc. v. Humphries, Hendrick Humphries, who is African-American, worked as an associate manager at Cracker Barrel. Following his termination, Humphries filed suit based on race discrimination and retaliation under Section 1981 of the Civil Rights Act of 1866. The main issue was whether Section 1981 recognizes a claim for retaliation. While Humphries lost his case in federal district court, the Seventh Circuit Court of Appeals held that Section 1981 protects against retaliation.

In both cases, the Supreme Court refused to restrict employee rights, and affirmed the viability of workplace retaliation claims under the Age Discrimination in Employment Act and Section 1981 of the Civil Rights Act of 1866. For more information about the Supreme Court’s decisions, please visit the New York Times article entitled, Justices Favor Workers in Cases of Bias Retaliation.

Age Discrimination Suit Filed Against WHDH-TV by former Reporter, Michael Macklin

WHDH-TV (Channel 7) is in the midst of defending an age discrimination claim. In a lawsuit filed in Suffolk Superior Court, former WHDH reporter, Michael Macklin, claims the station fired him last year after he complained of age discrimination. Macklin had been with the station for 13 years.

The suit alleges that the station’s news director, Linda Miele, reduced Macklin’s shifts beginning in January 2006 while simultaneously hiring several younger reporters. Just this week, WHDH announced that it would replace long-time anchor Jonathan Hall, who is in his late 40s, with Adam Williams, who is 27 years old. Hall will join the investigative unit.

Macklin’s suit seeks reinstatement, compensation, attorney’s fees, and court costs. To read more about Macklin’s suit, please visit the Boston Globe article entitled, Macklin sues Ch. 7 for age discrimination.

Gender Discrimination Claim Filed Against Boston Law Firm

One of Boston’s largest defense law firms finds itself in the same position as its clients: defending a lawsuit. In December 2007, Kamee Verdrager filed a gender discrimination and retaliation Charge of Discrimination with the Massachusetts Commission Against Discrimination (MCAD) against Mintz Levin. Ironically, Ms. Verdrager is an associate in Mintz Levin’s employment law department where she defends claims brought against employers.

In her Charge, Ms. Verdrager details the repeated instances of gender bias that she allegedly experienced since the start of her employment in 2004. The Charge names Mintz Levin as a firm and also the following partners on an individual basis: David Barmak, Robert Gault, and Donald Schroeder.

Massachusetts Lawyer’s Weekly reported on this case in an article entitled, Mintz, Levin associate hits firm with MCAD bias complaint. According to the article, Mintz Levin is no stranger to gender discrimination allegations:

In 2005, the 4th U.S. Circuit Court of Appeals ruled that a jury had acted permissibly on the evidence in finding that Mintz, Levin’s Reston, Va., office had retaliated against a female employee, attorney Dawn M. Gallina — by deferring a pay increase and ultimately terminating her — because of her continued complaints of gender discrimination.

Given the factual issues at stake and the need for extensive discovery, we expect this case to be pulled out of the MCAD and wind up in Superior Court. To learn more about the MCAD process, please visit our post entitled, Massachusetts Commission Against Discrimination (MCAD) Issues Probable Cause Finding in Handicap Discrimination Case.

Job Discrimination Complaints Jump 9%

Workplace discrimination complaints by employees against private employers to the Equal Employment Opportunity Commission (EEOC) rose by 9% last year, signifying the largest annual increase since the early 1990s. The EEOC reported that complaints increased to 75,768 during the 2006 budget year, up from 75,428 in the previous year. Discrimination complaints based on race, retaliation, and sex were the most common. Below is an overview:

Race discrimination complaints totaled 27,238; about 35.9% of all EEOC filings

Sex discrimination complaints totaled 23,247; about 30.7% of all EEOC filings

Retaliation complaints totaled 22,555; about 29.8% of all EEOC filings

Handicap discrimination complaints totaled 15,625; about 20.6% of all EEOC filings

Age discrimination complaints totaled 13,569; about 17.9% of all EEOC filings

Sexual harassment complaints totaled 12,025; about 15% of all EEOC filings

National origin discrimination complaints totaled 8,327; about 11% of all EEOC filings

Religious discrimination complaints totaled 2,541; about 3.4% of all EEOC filings

(It is not uncommon for employees to suffer more than one type of discrimination, which is why the total exceeds 100%)

Age discrimination and handicap discrimination complaints recorded double-digit percentage increases. Complaints about discrimination based on pregnancy also rose by 14% to 5,587. In 2006, the EEOC was successful in recovering $274 million in compensation for employees reporting discrimination. The Washington Post reported on these figures in an article entitled, Job Discrimination Filings Rise in 2006

Fifth Circuit Clarifies What Constitutes Protected Conduct under Sarbanes-Oxley

The Fifth Circuit Court of Appeals issued an important opinion last week in Allen v. Administrative Review Board clarifying the definition of protected conduct under Section 806 of the Sarbanes-Oxley (SOX) Act. SOX prohibits a publicly-traded company from retaliating against an employee who reports information to a supervisor “regarding any conduct which the employee reasonably believes constitutes” various types of fraud (mail, wire, bank or securities fraud), a violation of any rule or regulation of the Securities and Exchange Commission, or a violation of any provision of federal law relating to fraud against shareholders.

Although the Fifth Circuit in Allen held that the employees did not engage in protected conduct, the opinion provided guidance on what exactly constitutes such conduct. Among other things, the court opined that an employee’s whistleblowing activity must be “definitively and specifically” related to prohibited conduct defined under §1514A ; the whistleblower’s belief of improprieties will be scrutinized under both the subjective and objective standards; a whistleblower’s mistaken, but reasonable, belief that an employer engaged in prohibited conduct still constitutes protected activity.

A whistleblower under SOX will need to also show a nexus between the protected conduct and the adverse employment action. Suspicious timing is typically sufficient to carry this burden. In Collins v. Beazer Homes USA, Inc., the District Court of Georgia held that a two-week temporal proximity between reporting improprieties and termination is sufficient to suggest that the employee’s protected activity was a contributing factor to unfavorable personnel action. The Company may only avoid liability where it demonstrates by “clear and convincing” evidence that it would have taken the same unfavorable personnel action in the absence of the employee’s protected conduct.