The Equal Employment Opportunity Commission (EEOC) recently handed New York’s Department of Citywide Administrative Services (DCAS) a huge blow, when it issued a determination against the agency totaling more than $246 million.
Details of the Case
On behalf of a group of African American and Hispanic Administrative Managers, the Communications Workers of America filed a charge of discrimination with the EEOC against DCAS. The charge alleged that the city agency engaged in systematic wage suppression on the basis of sex, race and national origin. The union asserted that African American and Latino female managers were subjected to a salary freeze, while caucasian male managers continuously received pay increases.
DCAS rebutted these allegations with an assertion that the union lacked appropriate standing to file a charge on behalf of the employees. The city agency also denied the allegations of discrimination, asserting that the higher paid managers performed different duties than their lesser paid counterparts.
In its determination, the EEOC sided with the union and created a proposed conciliation agreement. The terms of the proposal included the following:
- DCAS would give pay raises through an annual step process;
- DCAS would increase the minimum salary paid to all administrative managers;
- A payment of $188,682,531 in back compensation;
- A payment of $56,922,000 in compensatory damages and
- A payment of at least $1 million in legal fees.