Employees Forced to Resign After Denial of Reasonable Accommodation Basis for EEOC Lawsuit

Compliance Perspective:

The Compliance Officer should review with the Risk Manager the facility’s policies and procedures regarding the Americans with Disabilities Act (ADA) as it relates to the facility’s employees and their potential need for the facility to provide intermittent leave or other reasonable accommodation options for employees with disabilities. Employees should be educated about the facility’s policies and procedures regarding disabilities and its reasonable accommodation options. The Compliance Officer should ensure that staff are surveyed periodically regarding their understanding of the facility’s policies regarding disabilities.

A U.S. Equal Employment Opportunity Commission (EEOC) lawsuit filed recently is charging that a major health  insurance provider in Hawaii violated federal law by denying intermittent leave to a class of employees with disabilities and not discussing other possible reasonable accommodation options. This  blanket policy forced emp­loyees to either work without an accommodation or to resign.Logo of Healthcare Consulting firm Med-Net Compliance, LLC.

According to the EEOC’s lawsuit,  beginning in late 2013, HMSA abruptly changed its policy on the use of  intermittent leave as an accommodation for employees with disabilities. In  addition to not allowing employees this accommodation, HMSA failed to engage in  the interactive process with its employees to determine if there was another  accommodation available for them. Instead, the company gave employees an  ultimatum of either working without an accommodation or resigning, the EEOC  said.

Such alleged conduct violates the Americans  with Disabilities Act (ADA). The EEOC filed suit in U.S. District Court for the  District of Hawaii after  first attempting to reach a pre-litigation settlement through its conciliation  process. The EEOC’s suit seeks back pay along with compensatory and punitive  damages for the claimant and class, as well as injunctive relief intended to  prevent and address discrimination.

The regional attorney that includes Hawaii in its jurisdiction made this statement, “employers who fail to try to reach such an accommodation arrangement are opening themselves to possible EEOC action.” Then, the director for the EEOC’s Honolulu Local Office, issued this statement, “Blanket employment policies that negatively affect a group of individuals can be discriminatory. Employers  should routinely audit their policies and practices to make sure they are not unlawfully  discriminating against their employees.”