Welsh v. Automatic Data Processing, Inc.

954 F. Supp. 2d 670, 28 Am. Disabilities Cas. (BNA) 478, 2013 WL 3155773, 2013 U.S. Dist. LEXIS 86802
CourtDistrict Court, S.D. Ohio
DecidedJune 20, 2013
DocketCase No. 1:12cv228
StatusPublished
Cited by2 cases

This text of 954 F. Supp. 2d 670 (Welsh v. Automatic Data Processing, Inc.) is published on Counsel Stack Legal Research, covering District Court, S.D. Ohio primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Welsh v. Automatic Data Processing, Inc., 954 F. Supp. 2d 670, 28 Am. Disabilities Cas. (BNA) 478, 2013 WL 3155773, 2013 U.S. Dist. LEXIS 86802 (S.D. Ohio 2013).

Opinion

ORDER GRANTING IN PART AND DENYING IN PART MOTION FOR SUMMARY JUDGMENT

SUSAN J. DLOTT, Chief Judge.

Plaintiff Christopher Welsh brought this action against his former employer Automatic Data Processing, Inc. (“ADP”)1 and his former supervisor at ADP, Kevin Ryan. Welsh alleges that Defendants discriminated against him on the basis of his disability and retaliated against him for engaging in protected activity in violation of the Americans with Disabilities Act (“ADA”) and Ohio law. This matter is before the Court on Defendants’ Motion for Summary Judgment (Doc. 17). For the following reasons, Defendants’ Motion is GRANTED IN PART and DENIED IN PART.

1. BACKGROUND2

A. Welsh’s Employment and Termination

ADP hired Christopher Welsh in 1987. From 1998 until April 2011, ADP employed Welsh as a district sales manager (“DSM”) reporting to Kevin Ryan in ADP’s National Account Services (“NAS”) Division. The NAS Division sells and provides ADP’s services to companies that have more than 1,000 employees. DSMs like Welsh are responsible for selling ADP’s products and services to NAS customers and potential customers. Ryan gives each DSM a sales quota that he or she is expected to reach on a monthly and yearly basis.

ADP’s fiscal year (“FY”) begins on July 1 and ends on June 30 of the following year. For example, FY 2007 ran from July 2006 through June 2007. In FY 2007, Welsh missed his annual sales quota, selling 85% of his goal. Welsh did better in FY 2008, selling 148% of his annual goal. However, he met his monthly goal only three out of the twelve months that year. In FY 2009, Welsh’s performance slumped; he earned only 63% of his goal. The first half of FY 2010 was even worse. From July through December 2009, Welsh’s [674]*674sales were -28% of quota, and he did not meet any of his monthly goals.3 In January 2010, Ryan had a discussion with Welsh regarding his sales performance. During the discussion, Ryan told Welsh that if his performance did not improve, he would put Welsh on a “performance memo.” Ryan Dep. Ex. 1, Doc. 15-1 at Page ID 235.4

In March 2010, Welsh was diagnosed with multiple sclerosis (“MS”). Welsh told Ryan of his diagnosis.

On June 1, 2010, Ryan gave Welsh a performance memo that constituted a written warning regarding his sales performance. In the memo, Ryan admonishes Welsh, “I need to require you to perform the job requirements of the DSM position.” Welsh Dep. Ex. 4, Doc. 14-1 at Page ID 145. The written warning specifies that Welsh needs to show improvement in two areas: his level of work produced, and his activity and results. Regarding the need for Welsh to improve his results, Ryan states in the memo:

There is an expectation that each and every DSM achieve their sales goals. As we have discussed many times over the past several months it is imperative that you become a contributing member of the Team. Your sales results have been well under plan for the last 11 months this Fiscal Year [2010] and last year [FY 2009] you achieved plan 4 out of 12 months. Also, last year you ended with $1150 on a plan of $1825 for a 63% YTD figure. This year, as of the end of April, you have $(279)k of sales or (26)% YTD. Once again, the expectations for a DSM are that they achieve 100% of their quota on a monthly basis and annual basis.

Id.5 The memo concludes, “there needs to be immediate improvement in the areas listed above. If immediate improvement is not seen, corrective action will result.” Id. at Page ID 146. Welsh received and read the memo, and he testified at his deposition that he did not recall disagreeing with it.

In the six months following Welsh’s receipt of the written warning, from June 2010 through November 2010, Welsh sold 61% of the cumulative quota and met his monthly quota one out of the six months. Welsh Dep. Ex. 2, Doc. 14-1 at Page ID 129,133.

On December 1, 2010, Ryan gave Welsh another performance memo. In it, Ryan states that Welsh’s performance continues to be below expectations. Ryan reiterates, “[y]ou must reach your annual quota on a monthly basis in order to be successful.” Welsh Dep. Ex. 6, Doc. 14-2 at Page ID 159. Like the June performance memo, the December 2010 memo provides details regarding Welsh’s sales performance from FY 2009 to the present. After noting that “the expectations for a DSM are that they achieve 100% of their quota on a monthly and annual basis,” the memo sets forth the following information:

• In FY09, you closed the year at 63% of plan with only 4 months that you performed over plan.
[675]*675• In FY10, you closed the year at -4% of plan with only 1 month over plan.
• YTD in FY11, you are running at 73% of plan with November being your only month over plan so far.
• Your sales results have been well under plan for the last 2.5 years.

Id. The memo concludes with a warning: “If immediate and consistent improvement is not demonstrated, then further corrective action, up to and including termination, will occur.” Id. (emphasis added). Welsh received, read, and signed the memo.

That month, December 2010, Welsh achieved 137% of his monthly quota. Welsh Dep. Ex. 2, Doc. 14-1, at Page ID 133. When Ryan notified Jean Coverick in ADP’s human resources department about Welsh’s sales numbers (137% for the month and 83% of his year-to-date quota), she responded, “sounds like we may be turning a corner with Chris [Welsh].” Doc. 20-2 at Page ID 489.

Despite this uptick in Welsh’s sales, sometime in January or early February 2011, Ryan began to discuss whether to terminate Welsh’s employment with ADP Senior Human Resources Director Jill Banister. Banister Dep. 66, Doc. 20-7 at Page ID 588. Also around that time, Ryan told Banister that Welsh had MS. Id. at 77, Page ID 589.

On February 10, 2011, Ryan gave Welsh another memo regarding Welsh’s sales performance. In it, Ryan states that he has seen little improvement in Welsh’s performance since giving him the warning on December 1. Specifically, Ryan states that since June 2010, Welsh has met his monthly quotas only twice and that Ryan has not seen “enough activity to drive better results.” Welsh Dep. Ex. 9, Doc. 14-2 at Page ID 168. Ryan reiterates in the memo that Welsh will be responsible for meeting his activity and quota objectives going forward and that “if immediate and consistent improvement is not demonstrated, then further corrective action, up to and including termination of your employment, will result.” Id. Welsh received, read, and signed the February 2011 memo.

On April 5, 2011, Ryan terminated Welch’s employment. Welch had not meet his monthly quota in February or March 2011, selling just ten percent of his combined quota for those two months. Welsh Dep. Ex. 2, Doc. 14-1 at Page ID 133. ADP’s stated reason for terminating Welch is unsatisfactory sales performance.

Welsh does not deny these facts. While he objects to ADP’s “characterization” of his performance, he does not dispute the numbers and admits that he was, “for the most part,” below quota during the last two years of his employment and that Ryan brought this fact to his attention.6

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954 F. Supp. 2d 670, 28 Am. Disabilities Cas. (BNA) 478, 2013 WL 3155773, 2013 U.S. Dist. LEXIS 86802, Counsel Stack Legal Research, https://law.counselstack.com/opinion/welsh-v-automatic-data-processing-inc-ohsd-2013.