Court Approves $4.5 Million Settlement Distribution
A federal judge has granted final approval for distribution of a $4.5 million monetary award to 90 claimants identified in EEOC’s litigation settlement with Allstate Insurance Company. The EEOC’s lawsuit filed in 2004 alleged a class of older workers at Allstate was adversely impacted based on age during a companywide reorganization. Allstate had adopted a one-year hiring moratorium, or while severance benefits were being received, that applied to all its employee-sales agents who were reorganized from employee agents to what the company considered independent contractors. EEOC claimed this policy disproportionately impacted employees over the age of 40 because 90 percent of the agents subjected to the hiring moratorium were age 40 or older. “Court approves Distribution of $4.5 Million Settlement in EEOC Age Bias Suit Against Allstate,” EEOC Press Release, 12/17/09.