Abstracts » Law

Supreme Court resolves major age discrimination controversy: ratification and tender back impermissible under OWBPA

Article Abstract:

The Supreme Court ruled in Oubre v. Entergy Operations on the enforceability of releases of Age Discrimination in Employment Act claims not meeting the requirements of the Older Workers Benefit Protection Act (OWBPA). Whether the release could be made enforceable by an employee's not tendering back severance pay was a further issue, and the court ruled that tendering back need not occur. The Supreme Court's ruling is a clear sign to employers that the Section 626(f) waiver requirements of the OWBPA must be followed.

Severance pay

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The dirty words of corporate downsizing: impermissible statements of intent in reduction-in-force cases

Article Abstract:

Employers following several simple rules should be able to avoid liability to former employees under the Age Discrimination in Employment Act. Employees should not be told they are being fired due to age, managers should avoid stereotypical and derogatory remarks about any employee's age, eliminating older workers should not be the purpose of any reduction in force, possible discriminatory intent should be especially avoided in writing, and offending remarks should be cast in one of three 'acceptable' categories.

Management-Communications, Layoffs, Intent (Law), Organizational communication

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Supreme Court expands age discrimination protections

Article Abstract:

The Supreme Court has broadened protection under the 1967 Age Discrimination in Employment Act, with its decision in O'Connor v. Consolidated Coin Caterers Corp. Downsizing by management could be affected by this decision. The court held that replacement of someone by another in their age class does not remove liability for age discrimination. This overturns the precedent that came from the court's 1973 decision of McDonnell Douglas Corp v. Green.

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