Eeoc Guidance On Severance Agreements

[11] Information on “How to File a Discrimination Complaint” can be found on the EEOC website at The latest EEOC guidelines are neither a law nor even a regulation. It reflects the Commission`s position on a number of issues that may or may not ultimately be accepted by the courts. However, proactive employers should read the EEOC guidelines and consider whether their release agreements should be updated in light of the EEOC`s interpretation of the federal laws it has applied. If Davis Wright can help Tremaine, please contact us. Second, the document raises some questions about an employer`s rights when a termination agreement is amended after it is granted. The EEOC has an aggressive view of an employer`s inability to correct a waiver or release agreement that OWBPA does not adequately comply with. In Butcher v. Gerber Products Co.1, the document challenged in the regional court that “the employer has only one chance to meet the requirements of the OWBPA and cannot “cure” an erroneous disclosure by issuing a letter to the employees and the OWBPA of the necessary information contained in their separation agreements and requires that they “confirm” their acceptance or that they revoke the “liberation. ” The EEOC does not justify this extreme view and does not seem to take into account situations in which the employee remains unscathed by the error of the original version. The guidelines also specify that there may be government laws that affect the applicability of an unlocking agreement, depending on the person`s employment. For example, California requires that certain legal languages be included in an authorization agreement when a person releases “unknown claims.” Therefore, employers in several Member States must be aware of the requirements of the State when release agreements with workers are used in establishments (or a-homes) in other countries.

When a worker is over 40, the Older Workers Protection Act (OWBPA) requires that an release agreement expressly state that the waiver of labour rights includes rights under the Age Discrimination Act. (It is also advisable, regardless of the age of the worker, that the release agreements contain examples of other types of discrimination or employment-related rights – whether federal or regional or general national law – that are repealed). The guidelines also explicitly state that older workers are not entitled to more severance pay than younger workers simply because they are protected by the OWBPA. While the EEOC`s position on these issues may continue to be tried, its guidelines recognize that in the event of a levy from the EEOC and in the event of an adverse finding against the employer, a possible severance pay would be reduced by a commission. The EEOC believes that workers who sign release agreements can continue to file a complaint with the EEOC if they feel they have been discriminated against because of a feature protected by federal law.