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J.C. Penney to pay $50,000 to end race discrimination case

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in Discrimination and Harassment,Employment Law,Human Resources

J.C. Penney has agreed to settle a racial discrimination suit filed by Reinell Singh, an African-American employee at a Staten Island store.

Singh alleged her supervisor used racially offensive names when referring to her and ultimately fired her because of her race. She filed EEOC charges claiming J.C. Penney violated her rights under Title VII of the Civil Rights Act of 1964.

Under the settlement agreement, J.C. Penney will pay Singh $50,000 in compensatory damages and operate under an EEOC-monitored three-year consent decree requiring the company to adopt new anti-discrimination and complaint procedures.

The company must also provide anti-discrimination training and display in all stores a poster showing employee rights under Title VII.

Advice: Although it may seem obvious, calling employees racially charged names will land you in court every time—and cost you money. Employers who observe supervisors doing this should act immediately to discipline the supervisor and protect the employee’s rights.

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