Labor & Employment Law Daily Wrap Up, EEOC NEWS—$740K recovered in response to disability, national origin discrimination, sexual harassment, retaliation allegations, (May 14, 2025)

By Pamela Wolf, J.D.

“Reassignment is not a reasonable accommodation of ‘last resort.’ The ADA expressly identifies reassignment to a vacant position as a reasonable accommodation. Employers should be aware of these requirements.”

In separate developments, the EEOC announced its combined recovery of $740,083 in monetary damages for workers affected by alleged disability or national origin discrimination, sexual harassment, or retaliation. In one case, a federal jury awarded $405,083 to a veteran with PTSD who was denied an accommodation for a drug test.

Reassignment as disability accommodation. Triple-S Vida, Inc. and Triple-S Management, Corp. agreed to pay $100,000 and provide other relief to settle an EEOC disability discrimination lawsuit. A traveling sales agent allegedly requested reassignment to an in-office position as a reasonable accommodation because her fibromyalgia symptoms limited her ability to drive for extended periods of time. Triple-S violated the ADA when it delayed accommodating the employee with a reassign­ment for approximately three years from the date of her initial request, according to the federal agency.

The three-year consent decree settling the lawsuit also requires Triple-S to modify its reasonable accommodation policy and provide specialized training to its human resources and recruiting personnel on reasonable accommodations under the ADA.

“Reassignment is not a reasonable accommodation of ‘last resort,’” said EEOC San Juan Local Office Director William Sanchez. “The ADA expressly identifies reassignment to a vacant position as a reasonable accommodation. Employers should be aware of these requirements.”

The EEOC filed suit in the District Court of Puerto Rico; the case is No. 3:21-cv-01463-FAB.

Sexual harassment by manager. The St. Cloud Area Family YMCA will pay $140,000 and provide other relief to settle allegations that it violated Title VII when it subjected female employees, including two teenagers, to sexual harassment by one of its managers. The manager repeatedly propositioned one of the employees for sex, made unwelcome sexual comments about the female employees’ bodies and physical appearance, and made demeaning comments about women. The employees reported the harassment to management, which failed to take prompt action to stop the harassment, according to the EEOC. As a result, one of the employees purportedly had to resign to avoid the harassment.

Pursuant to the consent decree settling the suit, the YMCA must also revise its harassment and discrimination policies, periodically survey its employees to monitor for any further sexual harassment, report future harassment complaints to the EEOC, and provide training to management employees about their obligations under federal law to prevent and take action against sexual harassment.

The EEOC brought its lawsuit in the District of Minnesota; the case is No. 24-cv-03738 LMP-LIB.

National origin discrimination, retaliation. National restaurant chain, Landry’s Seafood House, agreed to pay $95,000 and provide other relief to settle a Title VII national origin harassment and retaliation lawsuit. Landry’s employees, including managers and supervisors, regularly and openly mocked an Iranian employee’s accent, criticized her physical appearance by making comments like “nobody wants to see your hairy back,” and treated her differently than non-Iranian employees in ways that negatively impacted her and her pay, the lawsuit alleged. After the employee raised complaints about the harassment with the restaurant’s general manager and twice complained to Landry’s HR department, Landry’s failed to stop the harassment and discharged the employee for allegedly violating a policy the company did not equally enforce amongst its employees, the EEOC said.

The consent decree resolving the lawsuit also requires Landry’s to review and revise its harassment and retaliation policies; train employees and managers on national origin harassment, retaliation, and Title VII; and report on training, complaints, and policy modifications.

“Unfortunately, employers continue to retaliate against employees who complain about harassment, even when the employee complains through formal channels like human resources,” noted EEOC Phoenix District Director Melinda Caraballo. “Addressing retaliation is critical, as more than half the charges the EEOC receives allege retaliation.”

The EEOC filed its lawsuit in the District of Colorado: the case is No. 1:23-cv-02463-NRN.

Failed to accommodate applicant with PTSD. A federal jury awarded $405,083 to a veteran in a disability discrimination case against The Princess Martha, a St. Petersburg, Florida, senior living facility, and its operating companies. The facility, which was managed by TJM Property Management and TJM Properties Inc., violated the ADA when it denied a reasonable accommodation and refused to hire a veteran who applied for a job, according to the EEOC.

Evidence at trial showed that the applicant disclosed to hiring manager that she is a veteran with post-traumatic stress syndrome (PTSD) and took medication to treat the condition, which would cause a drug test to fail. The applicant then took the required drug test and made repeated attempts to provide proof of her legally prescribed medications, but the employer allegedly made no attempts to accommodate her and revoked her job offer. At trial, a top management official admitted that The Princess Martha submitted false information to the EEOC.

The eight-member jury returned a unanimous verdict finding that the applicant had a disability, disclosed the disability to The Princess Martha, and that the facility refused to accommodate her in the application process. The jury awarded $5,083 in back pay, $50,000 in compensatory damages, and $350,000 in punitive damages. The jury also found that the two other defendants, the TJM entities, were integrated enterprises with The Princess Martha.

The EEOC brought its lawsuit in the Middle District of Florida; the case is No. 8:22-cv-2181-CEH-TGW.

Companies: Triple-S Vida, Inc.; Triple-S Management, Corp.; St. Cloud Area Family YMCA ; Landry’s Seafood House – Colorado, Inc.; Saltgrass CO, Inc.; Landry’s Seafood House; Landry’s, LLC; Landry’s Inc.; Landry’s Management L.P.; Princess Martha, LLC; TJM Property Management; TJM Properties Inc.

News: AgencyNews Discharge Discrimination DisabilityDiscrimination NationalOrigin Retaliation SexDiscrimination SexualHarassment RemediesDamages