The EEOC announced the settlement of its race harassment and discrimination lawsuit against Big Lots, Inc., the nation’s largest broadline closeout retailer. The settlement includes total monetary relief of $400,000 to be paid to least five employees along with a group of unidentified class members. Big Lots also agreed to a two-year consent decree that calls for the implementation of a new policy, training, procedures and court monitoring to address harassment and discrimination in the workplace.

The EEOC originally filed suit against Big Lots in September 2008 in the U.S. District Court for the Central District of California (EEOC v. Big Lots, Inc., CV-08-06355-GW(CTx)). The agency alleged that Big Lots violated Title VII of the Civil Rights Act of 1964 when it subjected a black maintenance mechanic and other black employees to race harassment and discrimination at its Rancho Cucamonga, Calif., distribution center. Specifically, the EEOC alleged that an immediate supervisor and co-workers, all Hispanic, made racially derogatory jokes, comments, slurs and epithets, including the use of the words “n----r” and “monkey.” Despite learning of the harassment, the company took no steps to prevent or correct it.