Resources

Client Alerts, News Articles, Blog Posts, & Multimedia

Everything you need to know about BMD and the industry.

2020 EEOC Statistics – More Money and Fewer Charges

Client Alert

The U.S. Equal Employment Opportunity Commission (EEOC) released its comprehensive report on the workplace discrimination claims it received in Fiscal Year 2020. The Enforcement and Litigation Statistics provide detailed breakdowns of charges of employment discrimination and resolutions under a variety of statutes. Here are the highlights:

Total Charges Filed

The EEOC’s FY 2020 ended on September 30, 2020, and the total number of workplace discrimination charges filed with the EEOC dropped to 67,448. This was to be expected with the number of workplaces that shut down in 2020. Also, the increase in remote work in 2020 reduced the prospect of inappropriate interaction among employees. It was somewhat surprising that the total number of charges only dropped by 7% compared to FY 2019. Nearly every measure of labor-statistics showed a decrease of at least 10%-15% in workforce participation.  

Total Dollars Recovered

The EEOC recovered $106 million in FY 2020 through litigation. This exceeded the total litigation recovery in 2018 and 2019 combined. The previous 10-year average was approximately $53M/year. The $106M was the largest amount recovered by the EEOC since 2004. Again, this was somewhat surprising based upon the limitations on the legal system and the conservative administration in place. Outside of litigation, the FY 2020 monetary benefit recovered by the EEOC was $333.2 million. The total recovery of $439 million was the most in the past 20+ years.  

Claims of Interest

For the 18th year in a row, Retaliation claims continued to increase. Retaliation remains the most common type of charge filed with the EEOC. In FY 2020, Retaliation was part of 55.8% of all charges filed, an increase from 53.8%. If nothing else, this stresses the importance for all employers to educate their supervisors, managers, and employees on the strict prohibition against retaliatory conduct.

Disability Discrimination was the second most common claim, with 36.1% of all charges filed, an increase from 33.4%. This is likely due to the expansion of the definitions of a disability and the requirements on employers to engage in an interactive accommodation process.   

Genetic Information Nondiscrimination Act (GINA) claims increased by 110%, although they still make up around 1% of the total charges. This law is still in its relative infancy but may see another increase surrounding vaccination issues.

All other claims remained largely consistent. Race Discrimination modestly dropped to 32.7% of the charges from 33% in 2019. Although Color Discrimination increased to 5.3% of total charges from 4.7%. Sex Discrimination accounted for 31.7% of claims. Age Discrimination was included in 21% of claims. National Origin claims were approximately 9.5%. Religious Discrimination accounted for 3.6% of charges.

Employer Takeaway

In evaluating claims, the percentages will always add up to more than 100% because some/most charges allege multiple types of discrimination. 

It is important for employers to evaluate the types of charges as they create policies and educate their workforces. Too often, employers will focus only on sexual harassment training and policies and/or may include some discrimination training, but will overlook age discrimination, when those claims account for over 20% of the risk. The $439M recovered by the EEOC does not include any of the other litigation, arbitrations, informal resolutions, and severance packages that employers face in claims of discrimination and retaliation.

Obviously, the most significant risk to employers is a Retaliation claim. It accounts for the greatest number of claims, and results in the highest amount of damages and penalties. 

For additional information or to evaluate trainings, policies, and other risk mitigation measures, please contact Labor + Employment Law Member Jeffrey C. Miller, jcmiller@bmdllc.com or any member of the BMD Labor + Employment Team.


HHS Delays Quarterly Reporting for Provider Relief Funds

There is good news for providers that received either (1) General Distributions from the HHS Provider Relief Funds [link to my article], or (2) Targeted Distributions from the HHS Provider Relief Funds [link to Ashley’s article]. HHS reversed its stance requiring quarterly reports for providers that received Provider Relief Funds and PPP loan monies. The initial quarterly reports would have been due by July 10, 2020. However, on June 13, 2020, HHS delayed the quarterly reporting requirement.

July 20 is Important Deadline for HHS Fund Distributions to Medicaid and CHIP Providers

On June 10, 2020, the U.S. Department of Health and Human Services (“HHS”) released details on the distribution of more CARES Act Provider Relief Fund payments. After allocating $50 billion to Medicare providers through its General Distribution fund, HHS has now announced that it will distribute $15 billion to eligible Medicaid and CHIP providers who apply by the deadline through a Targeted Distribution. Applicants must apply through the Enhanced Provider Relief Fund Payment Portal. The application form itself can be found on the HHS website and is due by July 20, 2020.

DOJ Updates Corporate Compliance Plan Guidance

With the passage of the Affordable Care Act in 2010, all healthcare providers were required to adopt and implement a corporate compliance plan. Historically, having an effective corporate compliance plan in place has been key to defending healthcare providers in fraud and abuse actions by Medicare, Medicaid, and commercial payers. Over the past couple of years, the U.S. Department of Justice’s (DOJ) Criminal Division has increased the number of prosecutions against U.S. corporations, including healthcare providers. Earlier this month, the DOJ’s Criminal Division updated its “Evaluation of Corporate Compliance Programs” guidance to educate prosecutors on how a corporate compliance program will be evaluated going forward.

IRS Responds - Economic Impact Payments Do Not Belong to Nursing Homes or Care Facilities

In response to the concerns that some nursing homes and care facilities have been taking patients economic impact payments (“EIP”) and claiming the EIP belongs to the facility, the IRS issued a reminder that the EIP does not belong to a nursing home or care facility even if that facility receives the individual’s payments, either directly or indirectly. The EIP does not count as income or a resource in determining an individual’s eligibility for Medicaid or other federal programs for a period of 12 months from when the EIP is received. What this means: an individual’s EIP does not have to be turned over by the benefit recipient.

Title VII to Protect LGBTQ Community

It is not every day that the United States Supreme Court issues a decision that dramatically changes the workplace, but it happened this week. In a landmark decision captioned as Bostock v. Clayton County, issued by the Court on June 15th, the Court ruled that federal law prohibiting discrimination on the basis of “sex” will now include protections for individuals on the basis of sexual orientation, transgender, and gender identity.