Hubers v. Gannett Co., Inc.

CourtDistrict Court, N.D. Illinois
DecidedMarch 11, 2019
Docket1:16-cv-10041
StatusUnknown

This text of Hubers v. Gannett Co., Inc. (Hubers v. Gannett Co., Inc.) is published on Counsel Stack Legal Research, covering District Court, N.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hubers v. Gannett Co., Inc., (N.D. Ill. 2019).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION

LORI A. HUBERS, ) ) Plaintiff, ) ) v. ) 16 C 10041 ) GANNETT CO., INC., & ) GANNETT SATELLITE ) Judge John Z. Lee INFORMATION NETWORK, LLC, ) ) ) Defendants. )

MEMORANDUM OPINION & ORDER

Lori Hubers filed this lawsuit against Defendants Gannett Co., Inc., and Gannett Satellite Information Network, LLC (collectively, “Gannett”), arising out of her former employment as an advertising salesperson for USA Today. Hubers alleges she experienced sex discrimination and unequal pay in violation of the Illinois Equal Pay Act, 820 Ill. Comp. Stat. 112/1 et seq. (“IEPA”), the federal Equal Pay Act, 29 U.S.C. § 206(d), Title VII of the Civil Rights Act of 1964, 42 U.S.C. § 2000e et seq., and the Illinois Human Rights Act (“IHRA”), 775 Ill. Comp. Stat. 5/1-101 et seq. She further claims that Gannett withheld a portion of her final commission payment in violation of the Illinois Wage Payment and Collection Act (“IWPCA”), 820 Ill. Comp. Stat. 115/1 et seq. Gannett has moved for summary judgment. For the reasons stated herein, Gannett’s motion is granted in part and denied in part. Factual and Procedural Background1 Lori Hubers is a female former advertising sales employee of USA Today. Defs.’ LR 56.1(a) Stmt. (“Defs.’ SOF”) ¶ 1, ECF No. 88. USA Today is published by

Gannett.2 Id. ¶ 2; Pl.’s LR 56.1(b) Stmt. Add’l Facts (“Pl.’s SOF”) ¶ 2, ECF No. 102- 1. Hubers worked for Gannett from December 2013 to July 2015. Defs.’ SOF ¶¶ 6, 52. Hubers was interviewed by John Marquardt, the Midwest Director of Integrated Sales for USA Today, and his boss Michael Safran, the Senior Vice President of Integrated Sales for USA Today. Id. ¶ 5. She was then hired as an “Account Director” for USA Today’s national sales team, where she reported to

Marquardt. Pl.’s LR 56.1(b) Resp. ¶ 6, ECF No. 121. Safran set Hubers’s compensation: a base salary of $135,000 and the possibility of an additional $90,000 in commission if she achieved 100% of her sales goals. Defs.’ SOF ¶ 8. In 2014, her target commission increased to $135,000. Id. ¶ 10. And by the time Hubers left Gannett in 2015, her base salary had increased to $137,000. Pl.’s SOF ¶ 15.

1 The following facts are undisputed or deemed admitted except where otherwise noted.

2 Hubers and Gannett dispute which of the two Defendants employed Hubers. See Defs.’ SOF ¶ 2; Pl.’s SOF ¶¶ 2, 4–10. Their dispute centers on which Gannett entity owns or operates USA Today; yet neither side has set forth evidence clarifying which entity actually paid or otherwise employed Hubers. See Defs.’ LR 56.1(b) Resp. ¶¶ 2, 4–10, ECF No. 124. Prior to trial, Gannett should file a motion in limine, with supporting exhibits, addressing this dispute. 2 Joseph Martin was hired a year before Hubers by a Gannett subsidiary called Sports Media Group, LLC (“SMG”). Defs.’ SOF ¶ 14. SMG operated independently from the USA Today national sales team. Id. ¶ 18. When he was hired by SMG,

Martin’s base salary was $190,000, with a target commission of $95,000. Id. ¶ 15. Martin’s salary, which was set by an SMG manager, John Schram, was based on his prior experience working for ESPN for 13 years and selling sponsorships, his “extensive” list of client contacts and relationships, and “the seniority of the position.” Id. ¶¶ 16–17. Because of the perceived specialized nature of the sports-related advertising work at SMG, advertising sales employees at SMG generally had higher base salaries and compensation packages than sales employees in the USA Today

national sales team. Id. ¶ 19. Martin, while an SMG employee, worked at USA Today’s Chicago office with Hubers. Id. ¶ 37. At some point during his tenure there, Martin moved himself into an empty office space. Id. Nobody assigned Martin to work in the office space, and Marquardt, who was not Martin’s supervisor, had no role in Martin’s decision to do so. Defs.’ LR 56.1(b) Resp. ¶ 18.3 Hubers, by contrast, worked in a cubicle, where

the noise level was “tough.” Pl.’s SOF ¶ 18. Hubers never asked to move into an office, and agreed she was told that she could sit “wherever [she] want[ed].” Pl.’s LR

3 Hubers contends that “[f]urther discovery since Plaintiff’s deposition disclosed Martin was assigned an office by the office manager.” Pl.’s LR 56.1(b) Resp. ¶ 37. But Hubers does not cite any evidence in support of this assertion, so the Court will not consider it. See Local Rule 56.1(b)(3)(B). 3 56.1(b) Resp. ¶ 38. It did not independently occur to Marquardt to move Hubers into an office space after Martin took one. Defs.’ LR 56.1(b) Resp. ¶ 18. In the summer of 2014, Marquardt assigned USA Today’s account with

Starbucks to Hubers upon her request. Pl.’s LR 56.1(b) Resp. ¶ 35. The Starbucks account was primarily a “barter account,” meaning that Starbucks purchased $6 million in advertising but paid only $1 million in cash revenue, with the remaining $5 million paid through an in-kind arrangement with USA Today. Defs.’ SOF ¶ 32; Defs.’ LR 56.1(b) Resp. ¶ 24. Because of the arrangement, Hubers could receive credit for only $500,000 in commissionable revenue from the account. Defs.’ LR 56.1(b) Resp. ¶ 24. Hubers states that she was unaware when she sought the

account that it was far more labor-intensive than the commissions it generated. Pl.’s LR 56.1(b) Resp. ¶¶ 34–35; Pl.’s SOF ¶¶ 24–25. Marquardt did not personally help Hubers with the Starbucks account. Defs.’ LR 56.1(b) Resp. ¶ 26. Sometime between September 2014 and January 2015, Randy Kilgore, the President of National Sales for Gannett, decided to eliminate the sales team at SMG and move Martin into an Account Director position in the national sales team. Pl.’s

LR 56.1(b) Resp. ¶ 22; Defs.’ LR 56.1(b) Resp. ¶ 13. Kilgore, who was senior to both Schram (who had set Martin’s compensation) and Safran (who had set Hubers’s compensation), decided not to decrease Martin’s salary to match Hubers’s because he did not want Martin to quit. Defs.’ SOF ¶ 26. Nor did Kilgore increase Hubers’s salary to match Martin’s. See Pl.’s LR 56.1(b) Resp. ¶ 26. Upon his transfer,

4 Martin was expected to continue seeking “sports-related growth opportunities” in addition to selling other types of advertising. Defs.’ SOF ¶¶ 24, 27.4 After Martin was transferred into the USA Today national team, Marquardt

became his direct supervisor in addition to continuing to supervise Hubers. Defs.’ SOF ¶ 23. At that point, Hubers says, Marquardt began treating Martin more favorably than he treated her with respect to various working conditions, such as working from home and logging vacation time. See Pl.’s SOF ¶¶ 16–17. 5 Furthermore, Martin frequently went to outings such as golfing and baseball games with Marquardt, some of which might have been client events. Defs.’ SOF ¶ 48. Marquardt did not invite Hubers to attend such events. Pls.’ LR 56.1(b) Resp. ¶ 48.

Hubers acknowledges, however, that she had her own client entertainment budget and used it to host frequent client meals and other events. Defs.’ SOF ¶ 49. Hubers resigned from USA Today in July 2015. Id. ¶ 52. When she left, Hubers received a final commission payment of $12,085.61, which reflected that she had met only 68% of her sales quota for the second quarter of 2015. Pl.’s SOF ¶ 37. Hubers believed she had reached a higher percentage of her sales quota and therefore

4 Hubers disputes this assertion, but cites only her own declaration and attached exhibits, none of which call into question the fact that Martin was asked to continue focusing on sports-related advertising. See Pl.’s LR 56.1(b) Resp. ¶¶ 24, 27.

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