Labor & Employment Law Daily Wrap Up, EEOC NEWS—Agency sues employers for disability, sex, and religious discrimination, (Jan 3, 2025)

By Brandi O. Brown, J.D.

It also sued a food delivery service for breaching a conciliation agreement.

Over the holidays, the EEOC delivered lawsuits to several employers across the country. In North Carolina, it sued a healthcare provider for failing to accommodate an employee’s religious beliefs; in Washington, D.C., it sued a nationwide fitness gym employer for disability discrimination; and in Florida it sued a property management company for retaliating against an employee for utilizing disability leave. In Virginia, it also sued a food delivery service for failing to comply with the terms of a 2022 conciliation agreement.

Religious discrimination. The EEOC filed suit against Rex Healthcare, Inc., a private, non-profit healthcare provider located in Raleigh, North Carolina, alleging that it failed to accommodate an employee’s religious beliefs and fired her for failing to receive a COVID-19 vaccination, in violation of Title VII. The agency alleged that when the healthcare provider implemented a COVID-19 vaccination policy in 2021, the employee, who worked remotely, sought a religious exemption but was denied. She previously had been granted exemption from the flu vaccine requirement based on her religious beliefs. In spite of repeated requests and information supporting her request, which the agency described as articulating a sincerely held religious belief, her requests were denied and she was fired for failing to comply with the mandate.

The lawsuit was filed in the Eastern District of North Carolina; the case is No. 5:24-cv-00739-BO.

Disability and sex discrimination. The EEOC also filed suit against Equinox Holdings, Inc., which owns and operates fitness facilities and gyms nationwide, alleging that the employer discriminated against a woman who suffers from endometriosis on the basis of disability and sex when it failed to hire her as a front desk associate at a sports club in Washington, D.C., because of her “monthly cycle” and potential need for a reasonable accommodation. During interviews for the position, the job applicant, who had previously worked in similar positions at other gyms, asked for her second-round interview to be delayed because she experiences painful menstrual cramps and anticipated having them at the time. She was never scheduled and was told via text that she was passed over for the position because there was a concern that she would be absent in the future “due to [her] monthly cycle.” The employer subsequently hired a male applicant with no prior experience.

The lawsuit was filed in D.C. federal district court; the case is No. 1:24-cv-03597.

Disability discrimination. Additionally, the EEOC filed suit against Elon Property Management LLC, a property management company based in Lakewood, New Jersey, alleging that it retaliated against an employee for utilizing disability leave and maintained a policy that screened out and discriminated against a class of employees with disabilities. According to the agency, Elon retaliated against a district manager for taking a medical leave of absence by placing her on a performance improvement plan the day she returned and punishing her for the decline in occupancy rates that occurred while she was on leave. According to the EEOC, the employer also discriminates against workers with disabilities by prohibiting employees from returning from a medical leave of absence without a full-duty release note from their physician and a physician-signed copy of their job description. In conjunction, the agency contends, those practices prohibit employees from returning to work if they need an accommodation.

The lawsuit was filed in the Middle District of Florida; the case is No. 8:24-cv-2939.

Conciliation agreement breach. The EEOC also filed suit against Value Unlimited, Inc., doing business as ChowCall, a food delivery service in Norfolk, Virginia, alleging that it refused to comply with the terms of a 2022 conciliation agreement. According to the EEOC, Value Unlimited participated in an EEOC conciliation in September 2022, and, during that process, entered into an agreement with the agency to resolve a disability discrimination charge. The agreement required the company to pay $11,000 to a former employee in installments, train employees, and post a notice about the agreement. The company failed to make the last installment payment of $7,000 to the employee and failed to report posting the agreement notice, the agency alleges.

The lawsuit was filed in the Eastern District of Virginia; the case is No. 2:24-cv-00724.

Companies: Rex Healthcare, Inc.; Equinox Holdings, Inc.; Elon Property Management LLC; Value Unlimited, Inc.; ChowCall

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