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Area
Erectors, Inc., a construction company headquartered in Rockford, Ill.,
will pay $630,000 and provide significant remedial relief to settle a
race discrimination class lawsuit brought by the U.S. Equal Employment
Opportunity Commission (EEOC).
The EEOC's suit, filed under
Title VII of the Civil Rights Act (EEOC v. Area Erectors, Inc., No.
1:07-CV-02339), charged that Area Erectors terminated Giles Jefferson
and a class of 23 other black employees because of their race. In
addition, the EEOC alleged that Area Erectors fired Jefferson as a
retaliatory measure after it discovered he had filed a lawsuit against
another employer for race discrimination.
"No group of employees
should ever be targeted for layoffs based on race, and the EEOC will
vigorously prosecute systemic race discrimination cases," said EEOC
Acting Chairman Stuart J. Ishimaru. 'This substantial settlement sends
a clear signal that we will insist on meaningful and significant relief
in order to resolve these cases."
The EEOC filed suit on Sept.
15, 2006, after first attempting to reach a voluntary settlement.
Jefferson intervened in the EEOC's suit and was represented by Jeffrey
Cummings of Miner, Barnhill & Galland. The consent decree resolving
the suit, signed by Magistrate Judge P. Michael Mahoney, provides that
Area Erectors will pay $630,000 to Jefferson and the 23 other
claimants, and offer to reinstate eligible claimants.
Additionally,
the three-year decree enjoins the company from engaging in future
discrimination and retaliation; requires that it implement a policy
against race discrimination and retaliation, as well as a procedure for
handling complaints of race discrimination and retaliation; mandates
that the company provide training to employees regarding race
discrimination and retaliation; and requires the company to provide
periodic reports to the EEOC regarding layoffs and complaints of
discrimination and retaliation.
"We found in this case that Area
Erectors had a practice of laying off black employees after they had
worked for the company for short periods of time, but retained white
employees for long-term employment," explained EEOC Trial Attorney Ann
Henry, who led the government's litigation effort. "We are optimistic
that the consent decree will correct this practice and lead to equal
employment opportunities for black workers."
EEOC Regional
Attorney John Hendrickson of the Chicago District Office added, "We are
very satisfied with both the monetary and extensive non-monetary relief
provided for in the consent decree. In this economic climate, we're
especially pleased that Area Erectors will be required to offer the
claimants reinstatement at the company."
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