Labor & Employment Law Daily Wrap Up, EEOC NEWS—$100k recovered for employees allegedly sexually harassed; new suit alleges age discrimination, retaliation, (Jun 25, 2025)

By Pamela Wolf, J.D.

Workers were allegedly fired for complaining about age and national origin discrimination; others were allegedly subjected to a state-court retaliatory defamation lawsuit after complaining of sexual harassment.

The EEOC separately announced the recovery of $100,000 for employees of a Colorado bar and dance hall to resolve allegations of a sexually hostile work environment for both male and female workers. The agency also filed a lawsuit against a New Mexico long-term nursing care facility for purportedly harassing and discriminating against older workers and retaliating against them for complaining.

Sexually hostile work environment. ‘Murica LLC, operator of the Western-themed Starlite Station bar and dance hall in Greeley, Colorado, and its owners agreed to pay $100,000 to former employees and provide other relief to settle allegations that they violated Title VII by creating a sexually hostile work environment for both female and male employees. According to the EEOC, the owner often touched female employees without their permission; pursued sexual relationships with multiple female employees; pressured female employees to let him sleep at their homes; and had sex with an intoxicated employee at the bar, which resulted in the brief loss of the bar’s liquor license.

The owner also allegedly made derogatory and harassing comments about the appearance of women who applied to work at Starlite, saying some should not be hired because they were “too ugly,” or “not f***able.” Some male employees were allegedly subjected to unwelcome questions about their sex life, and the owner made harassing comments to these employees about female employees and applicants, the federal agency said.

Further, Starlite purportedly retaliated against employees who complained about or spoke out against the owner’s inappropriate sexual comments and conduct, including by firing or threatening to discipline employees who complained about the owner’s conduct.

Retaliatory lawsuit. Starlite and its owner filed a retaliatory defamation lawsuit in state court against a group of former employees after they filed complaints with the EEOC or made public statements, including on social media, objecting to the owner’s treatment of female employees and his sexual contact with an intoxicated female employee. The EEOC contended that the state-court lawsuit was an unlawful form of retaliation and that the terms of the state-court settlement prohibiting cooperation with the EEOC were illegal and should be voided as a matter of public policy.

Individually liable. The EEOC’s lawsuit also alleged that the owner and his mother, who was a co-owner, were individually liable because they improperly used the corporation to further their personal interests, including the use of corporate funds to pay a mortgage on a home, a personal loan, and personal credit cards. As a result of the alleged misappropriation of funds, the EEOC argued it could reach beyond the closed bar and satisfy any judgment with the two owners’ personal assets.

Consent decree. In addition to the monetary relief for the aggrieved individuals, the five-year consent decree resolving the case requires EEO training for managers and employees, a letter of apology from the owner to each aggrieved individual, and review and revision of EEO policies by a Society for Human Resource Management-certified professional, among other provisions.

“This case demonstrates why owners should not think that they can escape liability simply by closing a business and filing retaliatory defamation lawsuits in an attempt to silence victims,” said EEOC Regional Mary Jo O’Neill. “The EEOC will vigorously litigate against retaliatory defamation lawsuits and private settlements that seek to prevent communication with the EEOC and obstruct our enforcement of civil rights laws.”

The EEOC filed its lawsuit in the District of Colorado; the case is No. 1:22-cv-02549.

Harassing, discriminating against older workers. The EEOC filed a lawsuit in a federal district court in New Mexico alleging that South Valley Care Center, LLC, a long-term nursing care facility in Albuquerque, violated the ADEA and Title VII when it allegedly harassed and discriminated against older employees and retaliated against them when they complained of age and national origin discrimination. Older workers in the laundry department purportedly were harassed by their supervisor, including with comments such as “You are too old now, you cannot get another job” and “You should be ashamed of yourself” for “[g]etting pregnant at 40 years old.” Older workers were also treated less favorably than younger workers, including not being provided the same number of breaks and not similarly receiving their preferred schedules, the EEOC said.

Retaliation. When older workers complained about age and national origin discrimination, South Valley allegedly failed to adequately address their complaints and fired at least two workers in retaliation for complaining.

“Age discrimination continues to be a persistent problem in the workplace,” said EEOC Regional Attorney Mary Jo O’Neill. “Older workers are an essential part of the workforce, and the EEOC is committed to fighting for the rights of all workers, including vulnerable older workers.”

Companies: ‘Murica LLC; Starlight Station; South Valley Care Center, LLC

News: Discharge Discrimination AgeDiscrimination NationalOrigin Retaliation SexDiscrimination SexualHarassment