Employment law covers a broad range of workplace disputes, including sexual harassment, wrongful termination, disability discrimination, and retaliation claims. Many employment law cases result in large settlements, often reaching seven figures, due to the significant harm caused to employees.
Understanding Employment Law Cases In The US
According to Statista, In 2023, about 134.06 million people were employed in the United States on a full-time basis, returning to pre-pandemic levels. But many of these people later went on to file employment law cases for various reasons.
Interestingly, the nature and outcome of such cases may vary from case to case, but it’s necessary to understand them if you wish to pursue a case of your own. Therefore, this article explores 5 employment law cases, the legal process, and the role of a law firm in securing justice for affected workers.
5 Employment Law Cases That Result in Large Settlements
While a seven figure settlement sounds amazing, it isn’t as easy as one thinks. Even a sexual harassment case can end up backfiring if the federal government finds something wrong with it. The same goes for class claims or simple cases where someone makes inappropriate sexual comments on their coworkers.
We have live examples where the Supreme Court ruled in favor of companies. At the same time, we have other examples where a company failed to defend itself in such cases
So, whether you are worried about sex discrimination from male employees or other issues, our examples will help you understand it better.
1. Walmart Gender Discrimination Case (2023)
In 2023, Walmart agreed to pay $20 million to settle a lawsuit filed by the Equal Employment Opportunity Commission (EEOC). The lawsuit alleged that Walmart systematically discriminated against female job applicants in hiring for warehouse positions.
According to the EEOC, Walmart favored male applicants for physically demanding roles, despite female candidates being equally qualified. The settlement required Walmart to revise its hiring practices and provide training to prevent future discrimination.
This case highlights ongoing gender discrimination issues in employment and reinforces the importance of equal hiring practices. The settlement also included oversight measures to ensure compliance with federal anti-discrimination laws.
Walmart denied any wrongdoing but agreed to the settlement to resolve the claims. The case was a significant victory for the EEOC in enforcing workplace gender equality laws.
Source: EEOC.gov
2. Google Gender Pay Discrimination Case (2022)
In June 2022, Google agreed to pay $118 million to settle a class-action lawsuit alleging that it systematically underpaid female employees compared to their male counterparts. The lawsuit, filed in 2017, represented approximately 15,500 women who worked at Google in California.
The plaintiffs argued that Google assigned women to lower-paying job levels despite having similar qualifications as their male colleagues. The settlement also required Google to have an independent expert review its hiring and pay practices to ensure fairness.
Initially, Google denied wrongdoing but it agreed to settle the case to avoid prolonged litigation. This lawsuit was one of the largest gender pay discrimination settlements in U.S. history, bringing attention to wage disparities in the tech industry.
The case underscored the ongoing concerns about gender-based pay inequity in Silicon Valley and beyond.
Source: https://www.shrm.org/
3. Uber Sexual Harassment and Misconduct Case (2022)
Uber agreed to pay $9 million in 2022 to settle an investigation by the California Public Utilities Commission (CPUC) regarding sexual harassment and workplace misconduct allegations.
The case stemmed from complaints that Uber failed to properly handle reports of sexual assault and harassment involving its drivers and employees. The settlement required Uber to improve its sexual misconduct reporting system and share additional data on safety incidents.
Regulators criticized Uber for inadequate background checks and a lack of transparency in handling harassment claims. Uber denied liability but agreed to the settlement as part of its ongoing efforts to improve workplace safety.
The case was part of a broader reckoning within Uber following multiple allegations of toxic workplace culture and executive misconduct. This settlement emphasized the importance of corporate accountability in addressing workplace harassment.
Source: https://www.lawsuitupdatecenter.com/
Let’s move on with our list of employment law cases that result in large settlements and looking at what Tesla dealt with in 2021.
4. Tesla Racial Discrimination Case (2021)
In 2021, a federal jury awarded $137 million to Owen Diaz, a Black former contract worker at Tesla’s Fremont, California factory, after finding that he was subjected to severe racial discrimination.
Diaz alleged that he faced daily racial slurs, offensive graffiti, and a hostile work environment while working at Tesla in 2015–2016. He reported the incidents to management, but no meaningful action was taken.
The jury found Tesla liable for failing to prevent workplace discrimination and awarded Diaz $6.9 million in compensatory damages and $130 million in punitive damages. Tesla denied wrongdoing and later sought to reduce the payout.
This case was one of the largest racial discrimination verdicts in U.S. history and highlighted serious concerns about workplace culture at Tesla. It also reinforced the legal obligations of employers to maintain a discrimination-free environment.
Source: EEOC.gov
5. FedEx Racial Discrimination Settlement (2023)
In 2023, FedEx Ground agreed to pay $3.75 million to settle a lawsuit filed by the EEOC alleging racial discrimination in its hiring and promotion practices. The lawsuit claimed that FedEx systematically discriminated against Black and Hispanic workers by denying them promotions and better job opportunities.
The EEOC found that FedEx’s hiring policies disproportionately disadvantaged minority employees, violating federal anti-discrimination laws. As part of the settlement, FedEx did not admit wrongdoing but agreed to implement new policies to ensure fair hiring and promotion practices.
The settlement required FedEx to undergo independent monitoring and provide anti-discrimination training to its employees. This case underscored the persistent racial disparities in corporate hiring and advancement opportunities and reinforced the role of the EEOC in enforcing workplace equality standards.
Source: Nela.org
The Role of a Law Firm in Employment Litigation
Employment disputes are complex, requiring skilled legal representation. A reputable law firm provides critical support to plaintiffs in cases involving harassment, discrimination, and wrongful termination. Lead counsel in these cases must present strong evidence, navigate court procedures, and negotiate settlements on behalf of their clients.
Attorneys’ fees can be substantial in employment cases, but many firms work on a contingency basis, meaning they only collect fees if the case is won or settled. This arrangement allows wrongfully terminated employees and victims of discrimination to pursue justice without upfront legal costs.
Confidential Settlements and Their Impact
While many employment law cases go to trial, others result in confidential settlements. These agreements allow companies to resolve disputes without admitting wrongdoing.
A medical device company, for example, gets a confidential settlement with an employee who alleged sexual abuse in the workplace. Although the terms were undisclosed, the settlement likely included a significant financial payout and policy changes to prevent future misconduct.
However, confidential settlements have drawbacks. They can prevent the public from learning about workplace violations, allowing employers to continue harmful practices. This is why some legal experts advocate for greater transparency in employment law settlements.
Final Approval and Future Implications
When a case settles, the court must grant final approval to ensure fairness to all parties involved. This step is crucial in class action lawsuits, where multiple plaintiffs must agree to the terms. Final approval signifies that both parties have accepted the settlement, bringing the litigation to an end.
Employment Law Cases That Result in Large Settlements: Why Employment Law Cases Matter
Employment law cases play a vital role in protecting workers from discrimination, harassment, and unfair treatment. Whether through jury verdicts or settlements, these cases hold employers accountable and set important legal precedents. Companies that fail to comply with employment laws risk severe financial and reputational consequences.
For employees facing workplace violations, seeking legal counsel is essential. Even such attempts from a former employee can end up in a retaliation case if not done correctly.
Guidance and Compensation
An experienced employment attorney can guide them through the litigation process, helping them secure justice and compensation. As employment law continues to evolve, future court rulings will further shape workplace protections, ensuring fair treatment for all workers.
Final Thoughts
Getting a compensation from an insurance company or a large organization for medical expenses requires the right assistance. We recommend finding a lawyer you can trust with your employment law case.
However, the employment attorney you choose should have previous experience with such cases as it makes them likelier to get a more favorable outcome in your case. We recommend checking the verdicts and settlements of the employment law firm you choose to get a clearer image of their experience
Fight Your Employment Law Case With BLG
If you feel you need someone who genuinely cares about your case, our professionals at Bourassa Law Group are here for you. We will walk you through the legal process, ensuring you get the best experience with our employment lawyers.
1-800-870-8910