The Department of Treasury has settled a class action age discrimination lawsuit for $837,800 over a policy change that disproportionately impacted older employees. The settlement was approved on August 24, 2022 by the (EEOC).
The policy change meant that special discretionary $1,000 401(k) contributions were not made to employees’ earning more than $200,000 a year. 97% of the employees impacted by the policy were 40 years of age or older. The complaint was filed under the Age Discrimination in Employment Act. The class was represented by Gary Gilbert, Alexis Tsotakos, and David Norken of Gilbert Employment Law and was certified on December 30, 2021.<
The settlement was featured in an article in Federal News. Ms. Tsotakos told the Federal News that, “[i]t often happens that policies have an impact that people were not aware of, or are not thinking about, when they implement a policy.” As the article noted, GEL offers training for employers to ensure policies are consistent with applicable employment laws. To read the article, click here.