Connect with us

Hi, what are you looking for?

The American GeniusThe American Genius

Tech News

Employee fired, replaced for healthcare cost in age discrimination case

The EEOC continues its fight against age discrimination in this case against a company that fired an employee with cancer to avoid healthcare costs.

Several workers sit together, including a senior employee, as they talk about age discrimination in front of a computer, pointing at the screen for reference.

The EEOC continues its efforts to combat age discrimination in a case out of the U.S. District Court for the Eastern District of Texas. Allegedly, Gregg Orr Auto Collection, Inc. violated federal law when it fired a 65-year-old employee, a longtime senior manager, to avoid paying for his healthcare costs after a bout with cancer. Then, the auto company replaced the manager with a younger worker. The EEOC also alleges that Gregg Orr Auto violated Title I of the Americans with Disabilities Act (ADA) for firing the employee. 

What EEOC v. Gregg Orr Auto Collection, Inc. is all about…. 

According to the lawsuit, Gregg Orr Auto, which bills itself “Family owned family first” on its website,  fired the manager in 2020 without prior warning. Weeks before, the man had received billing statements for his cancer treatments the previous year. Gregg Orr Auto supplies a self-insured health plan to its employees, which means it is directly responsible for any medical expenses.

The EEOC maintains that the company fired the employee because it did not want to pay for continuing healthcare costs associated with the age of the employee, which directly violates the Age Discrimination in Employment Act (ADEA) that protects workers over the age of 40. Disability laws also prohibit discrimination against employees with medical conditions that last longer than 6 months and limit a major life activity. 

Avoid Age Discrimination 

The EEOC reports that they were unable to reach a settlement prior to filing the lawsuit. The government agency is asking for monetary relief in the form of back pay and punitive damages, as well as injunctive relief that prevents the company from discriminating in the future. Although the lawsuit is pending, it could be a costly decision for Gregg Orr Auto.

Using age to push out a qualified worker goes against the ADEA. Employers are expected to provide reasonable accommodations for employees with disabilities to provide the employees with access to employment.

Advertisement. Scroll to continue reading.

Dawn Brotherton is a Sr. Staff Writer at The American Genius with an MFA in Creative Writing from the University of Central Oklahoma. She is an experienced business writer with over 10 years of experience in SEO and content creation. Since 2017, she has earned $60K+ in grant writing for a local community center, which assists disadvantaged adults in the area.

Advertisement

The
American Genius
news neatly in your inbox

Subscribe to our mailing list for news sent straight to your email inbox.

Advertisement

KEEP READING!

Business News

EEOC alleges the Ohio theme park, Cedar Point, discriminated against older workers by not offering subsidized housing to employees over 30.

Business News

Some job candidates have reported being asked for their SAT/ACT scores - this practice could be an insult at best, and age discrimination at...

Business News

If you get laid off, is it weird to receive a list of employees who were also laid off—along with their ages? If you’re...

Tech News

Age discrimination, despite gender norms, spans to all, and all can be affected, but menopause only adds to the pressure.

Advertisement

The American Genius is a strong news voice in the entrepreneur and tech world, offering meaningful, concise insight into emerging technologies, the digital economy, best practices, and a shifting business culture. We refuse to publish fluff, and our readers rely on us for inspiring action. Copyright © 2005-2022, The American Genius, LLC.