$210,000 Settlement in Race Discrimination and Termination Lawsuit, Training Ordered

Monday, September 19, 2016

Question:  Would racial discrimination training have prevented this case?  See our trainings at http://www.hrclassroom.com.

 SFI of Tennessee, LLC, a fabricator and supplier of heavy-gauge steel and value-added products, has agreed to pay $210,000 and provide other relief to settle a race discrimination lawsuit filed by the U.S. Equal Employment Opportunity Commission (EEOC). EEOC charged that SFI of Tennessee discharged three black employees on the same day because of their race.

According to EEOC's suit, the three black employees worked in SFI's supply chain department, and neither of them had any performance issues prior to being discharged. EEOC said that SFI replaced the terminated employees with white employees, and that race motivated these actions.

Race discrimination violates Title VII of the Civil Rights Act of 1964. EEOC filed suit (Case No. 2:14-cv-02740) in the U.S. District Court for the Western District of Tennessee, Western Division after first attempting to reach a voluntary settlement through its conciliation process.

Besides the monetary relief, the two-year consent decree, agreed upon by the parties and approved by the court, requires SFI of Tennessee to provide training on race discrimination to all of its employees and to also report any complaints about race discrimination by its employees.

SFI of Tennessee is a Tennessee corporation with warehouse and production facilities in Memphis and about 450 employees. Its principal office is in South Bend, Ind.

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