Arapahoe Motors, Inc., doing business as Ralph Schomp Automotive (Ralph  Schomp), has agreed to pay $1.505 million and furnish other relief to settle a  sex and age discrimination lawsuit filed by the U.S. Equal Employment Opportunity Commission (EEOC), the federal agency announced. Ralph Schomp, based in Littleton, is one of the highest volume BMW, Honda, and Mini dealers in Colorado.

According to the EEOC’s lawsuit (EEOC v. Arapahoe Motors, Inc., d/b/a Ralph Schomp Automotive, 09-cv-02961  REB-MJW), five women were subjected to sex discrimination and a sexually hostile work environment while employed by the car dealership. The unlawful  conduct allegedly included offensive verbal comments and physical touching, demotion, refusal to transfer, salary reduction and failure to promote.

The EEOC also alleged that five older male employees were  terminated because of their ages and replaced with younger, less experienced  workers. Additionally, a manager in his  twenties allegedly made age-related comments prior to the terminations and younger  employees with lower sales numbers were retained.

“Sexual harassment and sex discrimination against women in  traditionally male-dominated industries, such as the auto industry, are still unfortunate realities,” said EEOC Acting Chairman Stuart J. Ishimaru. “Likewise, older workers continue to experience age discrimination, despite their experience, productivity and qualifications. Employers should remember that the EEOC is here to find and fight this kind of unlawful mistreatment.”

In addition to the monetary settlement to be distributed  among the 10 former employees, Ralph Schomp has agreed to enter into a two-year  consent decree requiring it to post its anti-discrimination policy, provide  training about anti-discrimination laws to its employees and managers, and make  periodic reports to the EEOC.