A San Antonio ironworks has decided to drop its two-year-old fight with the EEOC over allegations that it harassed black workers.
In 2012, a jury found that AA Foundry had harassed three black male workers, slapping the company with $200,000 in punitive damages. AA Foundry appealed.
Trial testimony had revealed that supervisors and workers frequently used racial epithets and repeatedly accused the three men of stealing. Witnesses saidoften posted racially insensitive literature in the workplace. When one employee filed an internal complaint, a manager said the workers were being “too sensitive.” The next day, a noose appeared in the workplace.
On appeal, the damages were reduced to the statutory cap of $50,000 each for the men. AA Foundry appealed the court-ordered injunctive relief designed to prevent future harassment. The EEOC appealed the jury’s denial of benefits to a black woman who also claimed company-sponsored harassment.
Rather than wage further legal battles, AA Foundry has now agreed to pay two of the men $50,000 each, the third man $40,000, and $20,000 to the woman. The company agreed to EEOC-supervised injunctive relief.
Note: Employers cannot delay correcting harassment. Employees are legally entitled to a harassment-free workplace.
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