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Outsourced ADA lodging might be ‘inherently problematic,’ EEOC lawyer cautions


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Employer use of third-party directors to deal with cheap lodging might be “inherently problematic,” a U.S. Equal Employment Alternative Fee lawyer cautioned Monday.

The warning got here because the company introduced a settlement settlement with retailer JCPenney. EEOC had alleged in a lawsuit, EEOC v. Penney OpCo, LLC, that the employer did not accommodate a warehouse employee with breast most cancers.

The worker had submitted the required written lodging request and medical documentation to the corporate’s third-party advantages administrator, based on the fee. The TPA “inexplicably” closed her request, EEOC alleged, and when she took day off for remedy and restoration, she exceeded the variety of attendance factors allowed and was fired. EEOC then sued on the worker’s behalf.

“Employers’ use of third-party directors to deal with cheap lodging might be inherently problematic, particularly when not successfully monitored,” mentioned Marcus Keegan, regional lawyer for EEOC’s Atlanta district, in an announcement.

JCPenney and EEOC agreed to settle the lawsuit for $99,000. The employer additionally should put up a discover at logistics facilities informing staff of the settlement and their rights; present updates to EEOC on its dealing with of future requests; and practice managers on their ADA tasks.

The corporate additionally agreed to institute and practice its managers on a brand new course of for monitoring how its TPA handles ADA lodging requests and a evaluation process earlier than discharging staff who’ve pending requests.

JCPenney didn’t reply to a request for remark by press time.

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