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Employment Practices Liability: Guide to Risk Exposures and Coverage
Summit Business Media, Jan 1998, Pages: 157
There has been an explosion in employment practices claims as suits by employees against their employers, supervisors, co-workers and others continue to make big headlines, cost money and damage reputations all around. Claims by employees often allege conduct by others that is embarrassing, degrading, insulting, morally reprehensible, and personally repugnant. Those same claims seek astronomical damages.
Those same claims get substantial press. Because of the allegations, the damages sought, and the publicity generated, more companies are coming to realize that they too can be targets of an employment suit.
The Administrative Office of the United States Courts released statistics indicating that the number of employment discrimination suits filed in federal courts during 1996 totaled more than 23,000. It is estimated that the number of similar claims filed in 1997 increased another 12%.
While these numbers sound large by themselves, they become even more significant upon closer examination. These numbers do not include harassment suits or common law employment claims alleging breach of contract, breach of duty, infliction of emotional distress, or defamation. These numbers do not include cases filed in state courts or matters resolved through arbitration or mediation or a collective bargaining agreement. These numbers do not include charges filed with the Equal Employment Opportunity Commission, or any other administrative or regulatory proceeding. These numbers do not include claims filed in federal court but mislabeled as something other than discrimination at the time of filing. These 23,000 claims only include claims primarily alleging discrimination under federal employment statutes and filed in federal court - and filed all in a single year.
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