Friday, February 3, 2012

EEOC Discrimination Claims Increase to Record High in 2011

In a press release issued January 25, 2012, the EEOC reported that it received 99,947 discrimination charges against private sector employers in 2011.  This is only a slight increase over the 99,922 it handled in 2010. Charges alleging retaliation under all of the statutes the EEOC enforces accounted for the highest overall percentage of private sector complaints received (37.4%), followed closely by race discrimination complaints (35.4%). Claims of religious discrimination, increased by a little over 9%, which was the highest percentage of increase of any of the charge categories.


The EEOC also reported that it obtained a record $455.6 million in relief for private, state, and local employees and applicants.  That's more than a $51 million increase from the past fiscal year. Americans with Disabilities Act charges drove highest monetary relief of all of the statutes. According to the EEOC, the administrative relief obtained for disability discrimination charges increased by almost 35.9% to $103.4 million compared to $76.1 million in the previous fiscal year.

The weak economy may have contributed to the increase in claims filed. The EEOC's draft Strategic Plan for 2012-2016 notes that during difficult economic times, the agency may see an increase in overall charges as more people are laid off.  However, that doesn't account for the significant increase in relief granted to employees.  



Bottom Line: The EEOC's increased enforcement efforts are paying off.  With this backdrop, its even more important that employers are aware of their obligations and exposure under employment discrimination laws, especially the ADA. Regular training for managers and employees on appropriate workplace conduct is essential.  More importantly, because these claims increase during weak economic periods, times of restructuring and lay-offs, its important that managers are aware of the impact of their decision making.  When there are lay-offs or restructuring, employers should consider a strategy that involves, communication, performance management and evaluation, and appropriate documentation.  Employment actions should be based on legitimate business reasons and those reasons should be verifiable.  

If you have any questions, please contact me or visit my website.