Lilly to Pay $2.4 Million to Settle Nationwide EEOC Age Discrimination Lawsuit

U.S. Equal Employment Opportunity Commission (EEOC)
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U.S. Equal Employment Opportunity Commission (EEOC)

Settles Federal Charges Company Failed to Hire Older Pharmaceutical Sales Representatives

INDIANAPOLIS – Lilly USA, LLC, a pharmaceutical corporation based in Indianapolis, Indiana, and its parent company, Eli Lilly and Company, will pay $2.4 million and provide other equitable relief to settle a nationwide class age discrimination lawsuit brought by the U.S. Equal Employment Opportunity Commission (EEOC), the federal agency announced today.

The EEOC’s lawsuit sought relief for pharmaceutical sales representative applicants who were denied positions due to Lilly’s “Early Career” hiring initiative. The Early Career hiring initiative, which was in place from 2017 to 2021, included goals designed to change hiring preferences to add more millennials to Lilly’s workforce.

“The EEOC is committed to ensuring that older job seekers are not subjected to unlawful age discrimination,” said EEOC Chair Charlotte A. Burrows. “Older workers offer valuable work experience and skills that can benefit employers in all industries.”

The employer’s alleged conduct in this case violated the Age Discrimination in Employment Act (ADEA) which prohibits discriminating against employees aged 40 and over. The EEOC filed suit in U.S. District Court for the Southern District of Indiana, Indianapolis Division (EEOC v. Lilly USA, LLC, et al., Case No. 1:22-1882-TWP-MKK) after first attempting to reach a pre-litigation settlement through its conciliation process. This case was litigated by EEOC Trial Attorney Chelsae Ford.

The consent decree resolving the case sets up a claims process that will identify and compensate individuals aged 40 or older who applied for and were denied primary care sales representative positions in the Lilly Diabetes Business Unit from January 1, 2017, through June 30, 2020.

In addition to the monetary relief, the decree requires Lilly to provide EEO training to certain managers and human resources personnel, survey job applicants on whether they experienced discrimination, and specifically state in contracts with third-party recruiters that it does not discriminate against candidates for employment based upon age.

“We commend Lilly for working collaboratively with the EEOC to resolve this lawsuit,” said EEOC Miami District Director Evangeline Hawthorne. “Lilly voluntarily ended its Early Career hiring program prior to initiation of the EEOC’s action, and the company’s willingness to implement additional training and other relief will ensure applicants of all ages are fairly considered for employment with Lilly.”

“Although often overlooked, age diversity, like other forms of diversity, is beneficial to the workplace,” said Robert Weisberg, regional attorney for the EEOC’s Miami District. “The EEOC is committed to securing equal access to jobs for job applicants protected by the ADEA.”

Individuals aged 40 or older who applied for and were denied primary care sales representative positions in the Lilly Diabetes Business Unit from January 1, 2017, through June 30, 2020, can contact LillyClass@eeoc.gov for more information about the claims administration process.

For more information about age discrimination, visit: https://www.eeoc.gov/age-discrimination.

The EEOC advances opportunity in the workplace by enforcing federal laws prohibiting employment discrimination. More information is available at www.eeoc.gov.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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