EEOC Sues Physical Therapy Company for Pregnancy Discrimination

A Maryland physical therapy practice violated federal law when it rescinded a job offer after learning the applicant was pregnant, the US Equal Employment Opportunity Commission (EEOC) charged in a lawsuit it announced on August 21, 2023.

According to the lawsuit, a pregnant woman who had recently earned a master’s degree in occupational therapy interviewed for employment and was offered a job. Prior to accepting the offer, she disclosed she was pregnant and asked the hiring manager about the company’s pregnancy leave policy. He did not immediately respond. When she followed up with him the following day, he informed her the company was no longer hiring. A short time later, the company hired another student from the applicant’s graduating class.

Such alleged conduct violates Title VII of the 1964 Civil Rights Act, which prohibits discrimination based on sex, including pregnancy. The EEOC filed suit after first attempting to reach a pre-litigation settlement through its conciliation process. The EEOC seeks injunctive relief prohibiting discriminatory employment practices based on sex or pregnancy, as well as lost wages, compensatory and punitive damages, and other affirmative relief.

“Pregnancy discrimination is unfortunately common. Twenty percent of women who have been pregnant report they experienced discrimination based on pregnancy, and 12 percent of American adults report they have witnessed pregnancy discrimination in the workplace,” said EEOC Philadelphia District Director Jamie R. Williamson. “The Philadelphia District fully investigates every complaint of pregnancy discrimination, and we are thorough in seeking redress where warranted.”

Compliance Perspective

Issue

Pregnancy discrimination is against the law. The EEOC enforces three federal laws that protect job applicants and employees who are pregnant. The first law is Title VII of the Civil Rights Act of 1964, as amended by the Pregnancy Discrimination Act, which is called “Title VII.” It prohibits sex discrimination, including pregnancy discrimination. The second law is the Pregnant Workers Fairness Act, which is called the “PWFA.” The PWFA requires a covered employer to provide a reasonable accommodation to a worker’s known limitation related to pregnancy, childbirth, or related medical conditions, unless the accommodation will cause the employer an undue hardship. The third law is the Americans with Disabilities Act (ADA). The ADA prohibits discrimination against an applicant or employee based on a disability, including a disability related to a pregnancy such as diabetes that develops during pregnancy. While pregnancy itself is not a disability under the ADA, some pregnant workers may have one or more impairments related to their pregnancy that qualify as a disability under the ADA. An employer may have to provide that worker with a reasonable accommodation for the pregnancy-related disability.

Discussion Points

    • Review the facility’s policies and procedures addressing prevention of discrimination, including pregnancy and disability discrimination for both current employees and job applicants. Ensure that any state-specific laws are included. Update the policies if needed.
    • Train human resources staff and facility leadership on ADA requirements, including reasonable accommodations. Document that these trainings occurred and file each signed document in the employee’s individual education file.
    • Periodically audit by anonymously polling staff to determine if they may be experiencing discrimination in the workplace. Additionally, periodically review potential employees’ application files to ensure that discrimination in the hiring process did not occur. Ensure that staff are aware of how to report any concerns of discrimination they may observe or experience to their immediate supervisor or through the facility’s hotline.

*This news alert has been prepared by Med-Net Concepts, LLC for informational purposes only and is not intended to provide legal advice.*

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