The EEOC filed 143 discrimination or harassment lawsuits in fiscal year 2023 (Oct. 1, 2022 – Sept. 2023). This represents a more than 50 percent increase over the filings from fiscal year 2022.
Based on the analysis of claims filings:
- Filings under the Age Discrimination in Employment Act (13) was more than double that of fiscal year 2022.
- There were 43 hostile work environment lawsuits, 27 of which asserted harassment on the behalf of an employee’s sex or sexual orientation, with another 15 alleging harassment based on race or national origin.
- Lawsuits under the Equal Pay Act experienced a slight year-over-year decrease, while filings under the Pregnancy Discrimination Act remained consistent.
- Five claims were filed related to alleged failure to accommodate mental impairments, including attention-deficit/hyperactivity disorder, anxiety, depression and post-traumatic stress disorder.
Which Industries Had the Most Lawsuits?
Most discrimination lawsuits in fiscal year 2023 were claims under Title VII of the Civil Rights Act of 1964 and the Americans with Disabilities Act (ADA). The agency filed 48 disability-related lawsuits, nearly doubling the 27 ADA cases it filed the previous year.
The ADA is a clear favorite for EEOC filings, which is particularly problematic for employers, because the complicated intersection between disabilities and leave laws creates significant vulnerabilities for employers.
Industries that received the most lawsuits included:
- Hospitality (31 lawsuits)
- Health care (24)
- Retail (18)
- Construction/natural resources (15)
- Transportation/logistics (9)
Small businesses were also sued, including a pet store, a pet resort boarding and training service with two locations, an appliance store, a lodge in a state forest area, a small medical practice, and a used car dealership, among others.
RED FLAG TIPS
Reinforce Core Values
Since the EEOC’s last anti-harassment guidelines were issued in 2016, the COVID-19 pandemic drove a lot of communications online, including formal business interactions as well as informal channels such as social media. Now that these communications are more likely to be recorded, evidence of suspected discrimination is more widely available and would support increased filings and enforcement.
Employers can prevent discrimination lawsuits simply by asking themselves if they are building inclusive, welcoming cultures that set clear standards of conduct for all interactions, regardless of setting. While conducting formal training to establish safeguards against illegal behavior is still paramount, organizations should also bolster their core values. By establishing and reinforcing values such as inclusion, accountability and respectful behavior, companies can reduce exposure to potential discrimination and subsequent litigation.
Employees need to feel supported in speaking up when confronted with potentially questionable behavior. This would help organizations identify and address incidents well before they rise to the level of systemic discrimination.
