An $850,000 settlement was recently announced between United Airlines and the San Francisco office of the Equal Employment Opportunity Commission (EEOC), the proceeds of which will be paid out to a class of United’s disabled employees. The settlement resolves a case filed by the EEOC alleging that United’s overtime policies disproportionately denied disabled employees opportunities to work overtime, in violation of the federal Americans with Disabilities Act (ADA). As part of the settlement, United has agreed to change its policies.
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United maintained a blanket policy of not allowing employees on light or modified duty to work any overtime. The EEOC said that this policy had the effect of denying overtime opportunities to disabled employees more often than other employees, since disabled employees are more likely to work light or modified duty assignments. Policies that disproportionately affect a protected group—such as employees with disabilities—amount to prohibited “disparate impact” discrimination under both California and federal law.