Equal Employment Opportunity Commission Severance Agreements

The United States Equal Opportunity Commission is a federal agency created by Title VII of the Civil Rights Act of 1964. The EEOC is charged with enforcing anti-discrimination laws in the workplace.... more +
The United States Equal Opportunity Commission is a federal agency created by Title VII of the Civil Rights Act of 1964. The EEOC is charged with enforcing anti-discrimination laws in the workplace. Specifically, the Agency addresses instances where employees or applicants are discriminated against on the basis of color, race, sex, religion, national origin, disability, and/or genetic information.  less -
News & Analysis as of

How Should Employers Draft Severance Agreements Post-CVS?

Last month, a federal judge in Illinois dismissed a lawsuit brought by the Equal Employment Opportunity Commission contending that a standard release agreement used by the CVS drugstore chain violated the anti-retaliation...more

EEOC Lawsuit Against CVS Pharmacy Challenging Severance Agreements Dismissed

On October 7, 2014, District Judge John Darrah of the North District of Illinois dismissed the Equal Employment Opportunity Commission’s lawsuit against CVS Pharmacy. Equal Employment Opportunity Commission v. CVS Pharmacy,...more

Judge in Chicago Dismisses EEOC Suit Challenging CVS Health’s Severance Agreements

As we reported earlier this year (EEOC Files Suit Over Separation Agreement Language), the Chicago District Office of the Equal Employment Opportunity Commission (EEOC) filed suit against CVS Pharmacy alleging that the...more

EEOC Challenge to CVS Severance Agreement Dismissed Due to Agency’s Failure to Engage in Conciliation

Late last year the United States Equal Employment Opportunity Commission (EEOC) sued CVS in the Northern District of Illinois claiming that the retail pharmacy’s standard form severance agreement and release violated Title...more

Federal Court Dismissal of EEOC Suit Leaves Employers Hanging

In a closely watched ruling, an Illinois federal district court handed a victory to one particular employer, but ducked a broader ruling that would have provided general guidance to companies generally that are trying to...more

Federal Court Notes Flaws in EEOC Stance on Severance Agreements

In a closely watched case, a federal district court questioned the stance of the U.S. Equal Employment Opportunity Commission (EEOC) that a severance agreement and general release of claims offered to employees can violate...more

Court Dismisses EEOC’s Controversial Severance Agreement Lawsuit

As we reported in February 2014, the U.S. Equal Employment Opportunity Commission sued CVS Pharmacy in federal court in Chicago on a novel theory that the company’s standard separation agreement unlawfully deterred departing...more

Federal Court Dismisses EEOC Lawsuit Challenging CVS Severance Agreement and Release

Employers can begin to breathe a sigh of relief after a federal judge last week dismissed a lawsuit brought by the Equal Employment Opportunity Commission against the CVS drug store chain. In the lawsuit, the EEOC took an...more

Federal Court Stops the EEOC’s Assault on CVS’s Severance Agreement

A federal court has tossed the EEOC’s controversial lawsuit against CVS seeking to invalidate its severance agreements. While the EEOC still has a similar lawsuit pending against another company in Colorado, employers can...more

EEOC's Attack On Severance Agreements Dealt Blow

As we noted earlier this year, the EEOC has begun filing legal challenges to relatively common provisions found in form severance agreements, based on the EEOC's belief that such language unlawfully interferes with employees'...more

United States: EEOC Challenges to Employer Separation Agreements

In Equal Employment Opportunity Commission v. CVS Pharmacy, Inc., No. 14-cv-863 (N.D. Ill., February 7, 2014), the EEOC alleged that a severance agreement used by CVS Pharmacy, Inc. (“CVS”) violates Title VII of the Civil...more

Labor & Employment E-Note

In This Issue: - High Court to Hear Case on Pregnancy Accommodations - Supreme Court Says Some Employees Don't Have to Pay Union Fees - Recent Decision Leaves Questions About Religion in Hiring Process - NLRB...more

Employment Flash (June 2014)

In This Issue: - NLRB Recess Appointments Unconstitutional - SEC Brings First-Ever Employment Retaliation Claim - EEOC Challenges Employer Severance Agreements - New York State Transportation Industry...more

EEOC Puts Severance Agreements In Its Crosshairs

It may be time to reassess what are widely considered to be standard provisions in your severance agreements. One of the EEOC’s latest initiatives is to target fairly routine provisions in severance agreements, including...more

Hiring & Firing: What Does a Successful Separation Agreement Between Employer & Employee Look Like?

In light of recent lawsuits by the EEOC against companies with overly broad or misleading severance agreements, we asked our contributors: What exactly is a successful separation agreement between employer and employee?...more

Is Your Standard Severance Agreement Subject to Challenge by the EEOC?

Many employers have a standard severance agreement that they routinely use with minor modification when terminating an employee either as part of a reduction-in-force or for performance or other reasons. Obviously, the major...more

Severance Agreements Under Attack by the EEOC

Two recent lawsuits filed by the Equal Employment Opportunity Commission (EEOC) underscore the federal agency’s intent to continue, and even expand, its attack on severance agreements. Generally, a severance agreement offers...more

The EEOC Takes Aim, Once Again, at Employers’ Separation Agreements

On April 30, 2014, the U.S. Equal Employment Opportunity Commission filed suit against a private college, charging for the second time in two months that an employer’s severance agreement was unlawful. The EEOC alleged that...more

Can An Employee Accept A Severance Payment And Still File A Discrimination Claim?

According to the EEOC, the answer to that question is not only “Yes,” but that any severance agreement which limits the employee’s right to file a charge of discrimination is unenforceable and illegal. This week, the EEOC...more

Employment Alert

In This Issue: EEOC's Latest Target - Severance Agreements; Pennsylvania's Unemployment Compensation Law May Require Employers to Provide Response to Unemployment Information Requests; and Supreme Court Clarifies that...more

The EEOC's Latest Target – Severance Agreements

Employers have long offered employees severance or other post-employment benefits in exchange for a waiver and general release of claims. Agreements of this kind often help make a difficult separation somewhat easier. By...more

Employment Law Blog: Severance Agreements - Clarity and Simplicity Are Best

On February 7, 2014, the Equal Employment Opportunity Commission (EEOC) in Chicago brought suit against CVS Pharmacy alleging that the company’s severance agreements for employees interfered with those employees’ civil...more

Recommendations in Response to the EEOC’s New Lawsuit on Severance Agreements

On February 7, 2014, the Chicago District Office of the Equal Employment Opportunity Commission brought suit in the U.S. District Court for the Northern District of Illinois against CVS Pharmacy, Inc., claiming that a...more

Employment Law - Mar 05, 2014

Time To Review Severance Agreements - Why it matters: The Equal Employment Opportunity Commission filed a complaint against CVS Pharmacy last week. The Illinois federal court suit claims the national chain violated...more

EEOC Alleges that Standard Severance Agreement Language Violated Title VII

Certain standard provisions contained in separation agreements commonly used by employers violate federal law, according to the Equal Employment Opportunity Commission ("EEOC"). Specifically, EEOC in a suit filed in Illinois...more

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