$425,000 Settlement in Age Discrimination Case Against Rent-A-Car Company, Training Ordered

 
Wednesday, July 15, 2015
 

Question:  Would age discrimination training have prevented this case?  See our trainings at http://www.hrclassroom.com.

Enterprise Rent-A-Car Company of Los Angeles, LLC will pay $425,000 to settle age discrimination charges filed with the U.S. Equal Employment Opportunity Commission (EEOC). Enterprise Rent-A-Car Company of Los Angeles, LLC is a subsidiary of Enterprise Holdings, Inc., North America's largest rental car company.

The charges made to the EEOC alleged that job applicants over the age of 40 were passed over for hire into management trainee positions at the company's Burbank, Calif. location between 2008 and 2011 due to their age. An EEOC investigation determined that ten job applicants over 40 were ultimately denied hire in favor of less qualified, younger applicants, a violation of the Age Discrimination in Employment Act (ADEA). The company asserts that the ten job applicants in question were denied hire because their qualifications were inadequate and denies that its Burbank office did anything wrong. However, the company agreed to this settlement, in order to avoid the time, effort and expense associated with further proceedings. The EEOC found that there were no applicants over 40 years of age hired into the management trainee position at the company's Burbank office during the three-year period. The EEOC also determined that the company's Burbank office failed to adequately maintain application records pursuant to federal law.

The EEOC, Enterprise, and the ten affected job applicants entered into a three-year conciliation agreement, thereby avoiding litigation. Aside from the monetary relief, the company's Los Angeles Metro Region agreed to redistribute its anti-discrimination policy to all employees in the region; to provide EEO training to all staff with an emphasis on preventing and addressing age discrimination; and to maintain an appropriate record-keeping system. The agreement further allows the distribution of a public press release on the matter. The EEOC will monitor compliance with the agreement.

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