can you afford an employment lawsuit?

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Can you afford an employment lawsuit? How about a fine for wage and hour violations? $376 Million and More Reasons to Love HotlinkHR 03.11.10

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Can you afford an employment lawsuit? How about a fine for wage and hour violations?

$376 Million and More Reasons to Love HotlinkHR

KPA – COMPANY PROFILEKPA – COMPANY PROFILE

• Nationwide compliance expert on Safety, Environmental, HR

• Colorado Headquarters

• 23 Years Experience • 3000 + Clients

– Dealerships, Service, Repair

• 20 Offices Serving 41 States

• Compliance products and services

– OSHA– DOT– EPA– Workers’ Comp– Background checking– Onboarding– Harassment – Red Flags– Onsite inspections– Online and onsite

training and tracking– And many more…

PresenterPresenter

Jim HendricksPartner with Ford & Harrisonjhendricks@fordharrison.com

QuestionsQuestions

• If you have questions during the presentation, please submit them using the “Questions” feature

• Questions will be answered at the end of the webinar

E.E.O.C.E.E.O.C.

• Handles charges of workplace discrimination

• 93,277 charges field in fiscal 2009

Types of Charges:Types of Charges:

• Disability: 21,451• Religion: 3,386• Retaliation: 33,613• Age: 22,778• Race: 33,579• Sex: 28,028

Reasons to Love HotlinkHR:Reasons to Love HotlinkHR:

• $376 million

Recovered by EEOC in 2009

BUT• Does not reflect private litigation!

What’s Up?What’s Up?

• EEOC 2010 budget increased by $23 million.

Handbooks – Important?Handbooks – Important?

• 10/20/09 10th Circuit Court of Appeals in Compton v. Rent-a-Center

$1.5 Million More Reasons to Love Hotlink HR

$1.5 Million More Reasons to Love Hotlink HR

• EEOC and Colorado auto dealer settled case alleging dealership subjected female employees to sex discrimination and sexual harassment and fired older male employees because of their age. (EEOC v. Arapahoe Motors, Inc. d/b/a Ralph Schomp Auto. 1/6/10)

• Company defense: Female owner, couldn’t discriminate against females. EEOC didn’t buy it.

• Remedy other than $$: provide training

Dealer Pays $85,000 to Settle EEOC Suite for Racial Discrimination and

Retaliation

Dealer Pays $85,000 to Settle EEOC Suite for Racial Discrimination and

Retaliation• Racial epithets – using the N-word and making

sales teams based on race.

• Retaliation for complaining about unlawful discrimination.

• Settlement:– $$

– Revise policy on non-discrimination and non-harassment

– Yearly anti-discrimination training

More Reasons:More Reasons:

Dealer Pays $500,000 to Settle EEOC Harassment Suit

Dealer Pays $500,000 to Settle EEOC Harassment Suit

• Need I say more?

More Reasons:More Reasons:

Mathis v. Phillips ChevroletMathis v. Phillips Chevrolet

• GM with hiring authority at dealership, often noted ages of employment applicants by hand on their applications!

• GM testified he was not aware that it was illegal to discriminate on the basis of age!

• Court: Leaving managers with hiring authority in ignorance of the basic features of the discrimination laws is an “extraordinary mistake”: reckless indifference.

($100,000+)($100,000+)

U.S. Department of LaborU.S. Department of Labor

• Handles claims for overtime and minimum wage

Examples:

• Hiring

• Secretary of Labor Hilda Solis

VERY pro union/employee

• Hired 250 new investigators

Fiscal Year 2008 FLSA Violations:Fiscal Year 2008 FLSA Violations:

• $185.3 million collected for violations of the Fair Labor Standards Act’s overtime and minimum wage rules.

• This does not include private sector lawsuits!

• From 2001 to 2005 there was a 100% increase in cases filed.

Free Consulting Time!!!Free Consulting Time!!!

James F. Hendricks Jr.Partner, Chicago Office

312-960-6118jhendricks@fordharrison.com

Atlanta Asheville Birmingham Chicago Dallas Denver Jacksonville Los Angeles Melbourne Memphis Miami Minneapolis New York Orlando

Phoenix Spartanburg Tampa Washington, DC

CONTACT INFORMATIONCONTACT INFORMATION

The recorded webinar and presentation slides will be emailed to you today including your local representative’s contact

information.

www.kpaonline.com

bross@kpaonline.com

866-356-1735

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