Overtime Policy Has Disparate Impact On Employees With Disabilities

(Published June 8, 2009)

 

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A policy denying the opportunity to work overtime to anyone placed on light or limited duty has a disparate impact on employees with disabilities because they are more likely to be assigned light duty, said the Equal Employment Opportunity Commission (EEOC).

 

A storekeeper working for United Airlines at the San Francisco International Airport filed an Americans with Disabilities Act (ADA) charge with the EEOC. The employee, who has epilepsy, was under medical restrictions that prevented him from operating heavy machinery and working at heights, but did not restrict the number of hours a week he could work. He was given light duty for his regular work schedule, and, as a result, United barred him from an overtime schedule, despite the fact that he was medically cleared to work overtime.

 

"This blanket policy barring employees working with restrictions from overtime work had a disproportionate impact on workers with disabilities. It runs counter to the ADA’s goal that each employee be evaluated individually on whether they can get the job done, with or without an accommodation. We appreciate that United Airlines has agreed to settle this case and rescind this policy," commented EEOC San Francisco Regional Attorney William R. Tamayo. United will pay $850,000 to a class of employees with disabilities who were subjected to the policy. (EEOC v. United Airlines, N.D.CA, No. CV 09 0784, 2009)

 

Legal Restrictions On Overtime

Disparate impact claims under the ADA are rare, but certainly not out of the question. When auditing company policies, it may not cross your mind to be on the lookout for a disparate impact on individuals with disabilities, as it is to assess policies’ impact on older workers, women, or minorities. Any medical-related policies should be looked at with the ADA in mind.

 

If your company has a policy that restricts OT opportunities, make sure it is "job-related" and "consistent with business necessity," two long-standing bases for defending against ADA claims. The policy should be based on defensible factors, such as a medical restriction on the number of hours an employee can work.

 

Related Topic(s): Discrimination/ADA - Americans with Disabilities Act, Payroll Management/Overtime