Equal Employment Opportunity Commission v. RockAuto, LLC

CourtDistrict Court, W.D. Wisconsin
DecidedAugust 9, 2021
Docket3:18-cv-00797
StatusUnknown

This text of Equal Employment Opportunity Commission v. RockAuto, LLC (Equal Employment Opportunity Commission v. RockAuto, LLC) is published on Counsel Stack Legal Research, covering District Court, W.D. Wisconsin primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Equal Employment Opportunity Commission v. RockAuto, LLC, (W.D. Wis. 2021).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE WESTERN DISTRICT OF WISCONSIN

EQUAL EMPLOYMENT OPPORTUNITY COMMISSION,

Plaintiff, OPINION and ORDER v. 18-cv-797-jdp ROCKAUTO, LLC,

Defendant.

Plaintiff Equal Employment Opportunity Commission (EEOC) brought this suit on behalf of charging party Glenn McKewen under the Age Discrimination in Employment Act (ADEA). A jury found that defendant RockAuto, LLC violated the ADEA when it refused to hire McKewen. Dkt. 153. This opinion and order addresses remedies. Front pay and injunctive relief are equitable remedies to be decided by the court, but the parties stipulated that the court would also determine back pay and mitigation after trial. Dkt. 133, at 1. Accordingly, the court must decide four issues: (1) whether McKewen is entitled to back pay and front pay; (2) the amount of any pay; (3) whether McKewen failed to mitigate his damages; and (4) whether the court should issue a permanent injunction against RockAuto. The parties agree that McKewen should receive prejudgment interest for any back pay that the court awards. For the reasons explained below, the court will award McKewen a total of $123,936.15 in back pay and prejudgment interest, and it will grant EEOC’s request for a permanent injunction. The court will deny EEOC’s request for front pay. BACKGROUND RockAuto is an online retailer of motor-vehicle parts and accessories. Glenn McKewen applied for a position with RockAuto as a supply chain manager on October 24, 2016, when he was 64 years old. When McKewen applied, Catherine Cahoon screened all job applications,

and RockAuto general manager James Taylor made the final hiring decisions. Cahoon screened McKewen’s application using a standardized score sheet. McKewen’s resume stated that he had received a master’s degree in marketing and supply chain management and a bachelor’s degree in business administration, but it did not say when he received these degrees. Cahoon emailed McKewen to request that information; McKewen replied that he had received his bachelor’s degree in 1978 and his master’s degree in 2003. Cahoon gave McKewen’s application a score of eight points, which was not high enough to automatically advance in the hiring process. RockAuto sometimes allowed applicants with lower scores to proceed in the

hiring process on a discretionary basis, a process RockAuto calls a “Jim Pass.” But RockAuto did not give McKewen a Jim Pass, rejecting his application based on his score. McKewen continued to look for work after he was rejected by RockAuto. He obtained work with Milwaukee Electronics from February 2017 to October 2017, earning $44,060.94 in wages. He continued to apply for jobs until late 2018, when he stopped looking for work.

ANALYSIS A. Back pay The ADEA permits an award of back pay (that is, the wages and benefits that McKewen

would have received had he been hired) if the plaintiff has proven age discrimination. Barton v. Zimmer, Inc., 662 F.3d 448, 545 (7th Cir. 2011). As the plaintiff, EEOC has the initial burden of establishing the back pay amount, then the burden “shifts to the defendant to show that the plaintiff failed to mitigate damages or that damages were in fact less than the plaintiff asserts.” Hutchison v. Amateur Elec. Supply, Inc., 42 F.3d 1037, 1044 (7th Cir. 1994). A claim for back pay must be supported by evidence, but it does not have to be calculated with “unrealistic

exactitude.” Stewart v. Gen. Motors Corp., 542 F.2d 445, 452 (7th Cir. 1976). EEOC seeks $167,991 in back pay for McKewen, plus $19,385 in prejudgment interest. Dkt. 168, at 15. RockAuto disputes five issues: (1) whether McKewen failed to mitigate his damages; (2) the time period for which McKewen is entitled to back pay; (3) the hourly wage that should be used to calculate McKewen’s lost wages; (4) the value of the benefits McKewen would have received from RockAuto had he been hired; and (5) the amount that McKewen’s damages should be offset to reflect the wages and benefits that he received from Milwaukee Electronics. The court addresses these arguments separately.

1. Mitigation To establish the affirmative defense that McKewen failed to mitigate his damages, RockAuto has the burden to establish two elements: (1) McKewen failed to exercise reasonable diligence to mitigate his damages; and (2) there was a reasonable likelihood that McKewen might have found comparable work by exercising reasonable diligence. Stragapede v. City of Evanston, Ill., 865 F.3d 861, 868 (7th Cir. 2017); Hutchinson, 42 F.3d at 1044. At his deposition, McKewen testified that after he was terminated from Milwaukee Electronics, he applied for at least four jobs per week through June 30, 2018, when he stopped

regularly applying for work and changed his LinkedIn profile to state that he had retired as of January 2018. He also testified that he attended a job interview with Master Lock on July 17, 2018, but he was not hired. And he testified that about three or four months after the July 17 interview, Master Lock emailed him about another opening and invited him to submit his resume. He did so, but he did not receive an interview for the position. RockAuto concedes that McKewen mitigated his damages through June 30, 2018, but it contends that he did not mitigate beyond that date. RockAuto addresses most of its

arguments toward the first element of the defense, contending that McKewen failed to exercise reasonable diligence past June 30 because he was no longer looking for work beyond that date. EEOC contends that McKewen continued to look for work through November 21, based on his testimony that he had emailed his resume to Master Lock three or four months after his July 17 interview. RockAuto must show that McKewen had a reasonable likelihood of finding comparable work if he had continued his efforts. E.E.O.C. v. Gurnee Inn Corp., 914 F.2d 815, 818–19 (7th Cir. 1990). RockAuto’s chief argument on this point is that McKewen “was able to obtain

employment relatively quickly with Milwaukee Electronics” in 2017 after RockAuto rejected his application. Dkt. 167, at 5. But RockAuto doesn’t challenge McKewen’s testimony that he applied for multiple jobs per week between October 2017 and June 2018 with no success, and it offers no reason to believe that McKewen’s continued efforts would have been successful, such as “evidence concerning the availability of comparable jobs,” Gurnee Inn, 914 F.2d at 818. See also Gracia v. Sigmatron Int’l, Inc., 130 F. Supp. 3d 1249, 1257 (N.D. Ill. 2015) (no failure to mitigate where employer “offer[ed] no evidence on the availability of work comparable to [the] lost position”) (emphasis in original). As the Gracia court noted, “[I]t is appropriate to

place the burden of proof on the employer to tamp-down damages because the only reason [the court is considering mitigation] is that the employer has engaged in illegal discrimination.” Id. (emphasis in original). RockAuto has failed to meet its burden on the second element, so its argument that McKewen failed to mitigate his damages after June 30, 2018, fails. 2. Time period The purpose of back pay is to make the victim of discrimination whole, so there is “a

strong presumption” that a victim of discrimination is “entitled to a back pay award on the basis of what [he] would have earned absent the discrimination.” E.E.O.C. v.

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Equal Employment Opportunity Commission v. RockAuto, LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/equal-employment-opportunity-commission-v-rockauto-llc-wiwd-2021.