Is Apple Union Busting? The Towson Store Closure Explained

Unions - collective bargaining, class actions.

Apple’s Towson Closure: A Case of Union Busting?

The retail landscape saw a significant shift in 2022 when employees at an Apple store in Towson, Maryland, achieved a momentous milestone by becoming the first group of retail workers at the tech giant in the United States to successfully unionize. However, just two years later, this same store is now facing permanent closure, and the news has undoubtedly left many feeling anxious and concerned.

Apple recently announced plans to close three of its retail locations by June, including the Towson store, along with sites in Connecticut and California. While the company attributes these closures to changing real estate conditions and declining mall foot traffic, the decision has ignited a wave of frustration and concern among employees and supporters alike. Those who are facing job losses deserve to have their voices heard, especially as they worry about potential corporate retaliation.

At the heart of this situation is how the company is approaching its displaced employees. Workers at non-unionized locations are being offered automatic relocation assistance to nearby stores, but the unionized employees in Maryland have been informed that they must reapply for new positions from scratch. This disparity raises serious concerns about fair labor practices and the protections available for employees facing such distressing circumstances. It’s crucial that their rights are respected and that they receive the support they need during this challenging time.

The Towson Apple Store: A Case Study in Unionization and Closure

The Towson Apple store made headlines when its workers voted to join the International Association of Machinists and Aerospace Workers (IAM) Coalition of Organized Retail Employees (CORE). The organizers demanded a voice in their workplace conditions, better pay, and transparent policy changes. They successfully negotiated their first union contract, setting a precedent for retail workers across the technology sector.

Now, those same employees face the sudden loss of their livelihoods. Apple maintains that the closures are strictly business decisions based on the declining conditions of the malls that house these stores. However, the disparity in how the company handles the aftermath has drawn sharp criticism.

At the closing stores in Trumbull, Connecticut, and Escondido, California, Apple offered employees seamless transfers to nearby locations. The nearly 90 employees at the Towson store received no such offer. Instead, the company informed them they would receive severance pay and remain eligible to apply for open roles at other locations. Apple claims the collective bargaining agreement negotiated by the union restricts automatic transfers unless a new store opens within 50 miles. The union strongly disputes this interpretation.

Allegations of Unfair Labor Practices

The IAM union responded to the closure by filing an Unfair Labor Practice (ULP) charge against Apple with the National Labor Relations Board (NLRB). The charge alleges that Apple is unlawfully discriminating against unionized workers by denying them the transfer rights freely offered to non-union employees.

Federal labor law strictly prohibits employers from punishing workers for organizing. Treating union members differently than their non-union counterparts specifically to discourage labor organization is a direct violation of these statutes.

The human cost of this corporate maneuver is profound. Eric Brown, an Apple Towson employee and union leader, articulated the emotional toll during a press conference. “It feels like a betrayal,” Brown stated. “This job is more than a job. This is a family to us… Financially, we were doing fine. Foot traffic, we’re doing fine. So there’s no other reason to shut us down than to basically bust up the union.”

For the workers suddenly forced to navigate a rigorous re-interview process alongside external applicants, the corporate strategy feels entirely retaliatory. Union leaders point out that many displaced workers are facing immediate rejection when applying for nearby open roles, further fueling suspicions of a coordinated effort to eliminate organized labor from the company’s retail footprint.

Understanding Unlawful Discrimination

Brian Bryant, the international president of the IAM union, summarized the core legal issue in a public statement. “Apple is denying union-represented workers the same opportunities it is giving to others—and doing so because these workers chose to organize,” Bryant said. “That is discrimination, and it is exactly what federal labor law is designed to prevent.”

When a corporation weaponizes store closures and transfer policies to target specific employees, it crosses a dangerous legal line. Protecting workers from this exact type of corporate overreach is the fundamental purpose of American labor laws.

Legal Framework and Employee Rights

Understanding your rights is critical when facing sudden dismissal, especially if you suspect your employer is targeting you for protected activities. The National Labor Relations Act (NLRA) guarantees employees the right to form, join, or assist labor organizations. It also protects your right to engage in concerted activities for mutual aid or protection.

Under the NLRA, employers are strictly prohibited from engaging in unfair labor practices. They cannot fire, demote, discipline, or lay off workers as punishment for union activity. Furthermore, they cannot threaten store closures or withhold standard benefits to chill organizing efforts.

If an employer violates these laws, the NLRB has the authority to intervene. Potential consequences for employers found guilty of unfair labor practices include mandatory reinstatement of fired workers, the payment of lost wages (back pay), and strict orders to cease illegal anti-union practices.

If you have experienced retaliation for discussing working conditions, reporting illegal behavior, or participating in a union drive, you may be the victim of wrongful termination. A dismissal does not have to involve a formal firing; being laid off while your non-union peers are transferred can also constitute an illegal discharge.

Apple’s Defense and the Broader Context

Apple has publicly denied the allegations leveled by the IAM union. A company spokesperson released a statement asserting, “We strongly disagree with the claims made, and we will continue to abide by the agreement that was negotiated and agreed with the union. We look forward to presenting all of the facts to the NLRB.”

The company maintains its stance that the collective bargaining agreement dictates the specific severance and transfer rules for the Towson employees. However, this legal battle occurs against a broader backdrop of intense corporate resistance to unionization within the tech and retail industries.

Large corporations frequently utilize aggressive tactics to suppress organized labor. The aggressive shutdown of a unionized location sends a chilling message to employees at other stores considering similar organizing efforts. This case carries massive implications for corporate responsibility and the future of employee relations across major tech conglomerates.

Holding Corporations Accountable

The closure of the Towson Apple store is more than just a local retail casualty. It is a defining battle over the rights of workers to organize without fear of retribution. Whether Apple’s actions constitute illegal union busting or standard business practice will ultimately be decided by the National Labor Relations Board. However, the situation serves as a stark reminder of the immense power disparity between massive corporations and individual employees.

Fair labor practices require vigilant enforcement. When powerful companies attempt to skirt the law, they must be held accountable. No employee should lose their livelihood simply because they advocated for better treatment, reported corporate wrongdoing, or joined a union.

If you suspect you have been the victim of wrongful termination, retaliation, or workplace discrimination, securing experienced legal representation is your most powerful countermeasure. Helmer Friedman LLP offers confidential consultations to evaluate your specific situation. With over 20 years of legal experience and a proven track record of holding powerful entities accountable, our team provides personalized, nationwide advocacy. You do not have to face corporate legal machinery alone. Contact our office today to ensure your rights are fully protected.

Pay Discrimination & Retaliation Against US Workers

Pay discrimination in fashion industry against American executives.

The Hidden Cost of High Fashion: Pay Discrimination

Behind the glittering runways and exclusive boutiques of the high fashion industry, complex human stories often unfold out of the public eye. Brands like LVMH and Stella McCartney project an image of elegance and prestige. However, the internal operations of these celebrated organizations can sometimes reveal a starkly different reality for the professionals working tirelessly behind the scenes.

Recently, the legal battle initiated by Andrew Dershaw, a former senior executive at Stella McCartney, has brought these hidden workplace issues directly into the spotlight. After dedicating over a decade to building the brand’s presence in the United States, Dershaw filed a federal lawsuit alleging severe retaliation, pay discrimination, and pricing misconduct. His story serves as a powerful reminder that prestige does not automatically guarantee a fair or equitable workplace.

This post explores the serious implications of pay discrimination and retaliation against American employees. By examining the details of Dershaw’s lawsuit and outlining the federal legal protections available to workers, we can better understand the vital importance of workplace fairness and the legal avenues available to those facing similar injustices.

 

The Case of Andrew Dershaw: A Deeper Look

For fourteen years, Andrew Dershaw was a cornerstone of Stella McCartney’s U.S. operations. He successfully grew the brand’s American wholesale business, overseeing more than $40 million in annual revenue across hundreds of retail accounts. Despite this extensive loyalty and success, his recent federal complaint paints a troubling picture of corporate exploitation and retaliation.

Allegations of Pricing Misconduct

According to the lawsuit, Dershaw raised serious objections in early 2025 to a coordinated pricing strategy imposed on U.S. retailers. Internal communications allegedly described this strategy as anti-competitive and illegal. When Dershaw refused to participate, he claims the company immediately retaliated by drastically reducing his bonus. The lawsuit notes that LVMH and Stella McCartney continued this pricing strategy despite growing scrutiny in Europe. Notably, the European Commission later fined Loewe, another LVMH-owned brand, €18 million for similar anti-competitive practices.

Allegations of Pay Discrimination

LVMH and Stella McCartney built a system designed to extract maximum value from an American executive who gave them fourteen years of loyalty and successfully grew their U.S. business into what it is today, while ensuring he would never be treated as an equal,” said Bennitta L. Joseph, Founding Partner at Joseph & Norinsberg

The complaint also details profound pay disparities. Dershaw claims he was the only American male on a senior leadership team composed almost entirely of European executives. When a European executive was terminated in 2024, Dershaw assumed her full responsibilities. However, he was reportedly denied her title and was paid roughly half of her compensation.

The disparities allegedly worsened during the COVID-19 pandemic. Dershaw’s salary was reduced by approximately 30%, while the compensation of his European counterparts remained unchanged. During this same period, public filings indicate that Stella McCartney increased her own compensation by a staggering £221,000. Following his internal complaints about these wage issues, Dershaw received his first negative performance review in fourteen years, resulting in further financial penalties and tens of thousands of dollars in unreimbursed business expenses.

The Human Toll

The cumulative impact of these actions caused immense personal and professional harm. The relentless pressure and unequal treatment ultimately forced Dershaw to take medically prescribed leave in October 2025 after receiving diagnoses for Major Depressive Disorder and Generalized Anxiety Disorder. His lawsuit now brings claims under the Equal Pay Act, New York Human Rights Laws, and whistleblower retaliation statutes, demanding accountability from one of the world’s most powerful fashion conglomerates.

Legal Protections for American Employees

Dershaw’s experience highlights a critical vulnerability that many American professionals face in globalized industries. Fortunately, robust legal frameworks exist to protect employees from national origin discrimination and retaliation.

National Origin Discrimination

Title VII of the Civil Rights Act of 1964 prohibits employment discrimination based on race, color, religion, sex, and national origin. The Equal Employment Opportunity Commission (EEOC) strictly enforces these protections for all national origin groups, including U.S. citizens. An employer cannot legally treat an applicant or employee unfavorably simply because they are from the United States.

Prohibited Discriminatory Practices

Discrimination can manifest in several ways, from subtle biases to overt policies. Title VII strictly bars discriminatory job advertisements, such as postings that explicitly prefer foreign visa holders over qualified American workers. Furthermore, unequal treatment during the recruitment or termination processes is illegal. If an employer subjects U.S. workers to more burdensome application requirements or terminates American workers at a higher rate than their foreign counterparts, they are violating federal law. Harassment based on national origin that creates a hostile work environment is equally prohibited.

Whistleblower Protection

Federal and state laws provide strong protections for whistleblowers. Retaliation against an employee for objecting to discriminatory practices, reporting illegal behavior, or filing an EEOC charge is strictly forbidden. It takes immense courage for whistleblowers to speak out against powerful employers. The law recognizes this courage by offering mechanisms to hold retaliatory companies accountable for punitive actions, such as wrongful termination or demotion.

Employer Justifications Debunked

Employers often try to defend discriminatory practices by citing business necessities. However, the law is clear. A company cannot justify discrimination based on customer preference, the cost of labor, or unfounded stereotypes about the work ethic of specific nationalities. Saving money through cheaper foreign labor does not override an American worker’s civil rights.

A Precedent for Justice: The Chivas USA Case

Courts actively enforce these protections, as seen in the notable lawsuit against the Chivas USA professional soccer organization. Two American youth academy coaches successfully sued the organization, alleging they were fired because they were not of Mexican or Latino descent. The lawsuit detailed an ethnocentric policy implemented by the new ownership, which created a hostile environment for non-Latino Americans. This case forcefully demonstrates that anti-American discrimination is a recognized and actionable violation of civil rights.

How to File a Claim

The attorneys at Helmer Friedman LLP can guide you through this complex process, ensuring your claim is filed correctly and on time. The EEOC investigates these charges and, in some instances, may file a lawsuit on your behalf. However, it is crucial to act quickly. There are strict time limits—generally 180 calendar days from the day the discrimination took place (extended to 300 days in some cases)—and missing these deadlines can result in a permanent loss of your legal rights. Contacting our firm can help you navigate these critical first steps.

Broader Implications for Workplace Fairness

High-profile lawsuits like Andrew Dershaw’s do more than seek justice for one individual. They expose systemic issues and prompt necessary conversations across entire industries.

Workplaces only thrive when every employee is valued, heard, and compensated fairly based on their contributions, rather than their country of origin. Pay discrimination and whistleblower retaliation are fundamental violations of dignity and respect. Fostering a corporate culture rooted in integrity, openness, and compassion requires holding powerful organizations accountable when they fall short of these basic standards.

Fostering a Culture of Respect and Accountability

>Andrew Dershaw’s courageous decision to stand up to LVMH and Stella McCartney sheds critical light on the often hidden realities of pay discrimination and corporate retaliation. His case underscores the urgent need for employers to evaluate their internal practices and ensure fair treatment for all staff members, regardless of nationality.

If you have experienced unequal pay, a hostile work environment, or retaliation for reporting illegal corporate behavior, you do not have to face it alone. Understanding your legal rights is the first step toward reclaiming your professional dignity and financial security. By consulting with an experienced legal advocate, you can explore your options, protect your career, and help build a safer, more respectful work environment for everyone.

Nurse Sues Elevance Health for Disability Discrimination

Medical care, hospital - Family Leave Lawyers Helmer Friedman LLP.

Fired for Pain: Veteran Nurse Sues Elevance Health

Priscilla Kamoi dedicated 17 years of her life to caring for patients within a massive healthcare conglomerate. As a licensed Registered Nurse at Anthem Blue Cross and Elevance Health, she demonstrated exemplary performance. She earned regular salary increases, annual bonuses, and consistently strong evaluations. She was a loyal, high-performing employee doing vital work.

Then, she became the patient.

Diagnosed with a debilitating and excruciating nerve condition, Kamoi suddenly found herself needing the very compassion and care she had spent nearly two decades providing to others. Instead of supporting a veteran employee, her employer responded with rigid quotas, disciplinary action, and ultimately, termination.

This stark juxtaposition between a health insurance company’s public mission and its internal treatment of a disabled worker sits at the heart of a major lawsuit filed in Los Angeles County Superior Court. Represented by Helmer Friedman LLP and The Carr Law Group, Kamoi is holding Elevance Health accountable for disability discrimination, retaliation, and wrongful termination.

Understanding the Agony of Trigeminal Neuralgia

In late 2018, Kamoi developed severe trigeminal neuralgia. Often described by medical professionals as one of the most painful conditions known to humanity, it causes excruciating, electric-shock-like pain that radiates through the head and face.

For Kamoi, the attacks were sudden and unbearable. The condition made basic human functions—speaking, chewing, swallowing, and sleeping—incredibly difficult. She experienced numbness on the left side of her face and a progressive loss of hearing. Furthermore, the strong medications prescribed to manage the nerve pain carried heavy side effects, including severe fatigue, dizziness, and a slowness in thought processing.

The pain episodes completely derailed her daily routine. In a January 2023 email to her supervisors, Kamoi attached photographs of her face during a severe shock attack. She explained that the pain was so intense she could not manage to eat dinner until after 11:00 p.m., when the episode finally subsided.

A Shift in Corporate Culture

Despite her agonizing diagnosis, Kamoi returned from medical leave in 2019 ready to work. As a salaried Discharge Planner, she had the flexibility to take the time she needed to manage her symptoms while still performing her duties to an exceptional standard.

The corporate environment shifted drastically in mid-2022. Management announced that nurses would be transitioned to concurrent utilization review duties. This new role was far more complex, requiring nurses to review a patient’s vital signs, lab results, imaging, and overall treatment to determine the medical necessity of continued hospital stays.

More importantly, supervisor Monica Gagnon imposed strict new productivity standards. Nurses were now required to process 1.5 complex cases per hour and finish all work strictly within an 8-hour shift.

Knowing her medical condition and medication slowed her processing time, Kamoi proactively requested a reasonable accommodation. She asked to remain in her role as a Discharge Planner—a position she had mastered for years. Elevance Health management denied her request, forcing her into the highly regimented utilization review role.

A Timeline of Hostility and Denied Accommodations

What followed was a nearly three-year cycle of corporate hostility. Elevance Health continually penalized Kamoi for failing to meet aggressive hourly quotas, despite knowing her disability made those speeds impossible.

When Kamoi protested to her supervisor, Celia Zarate, that her medical condition prevented her from moving fast enough to meet the new targets, Zarate offered a callous response: “Then get another job.”

The pressure continued to mount. Kamoi received formal warnings for taking too much time to complete her work and for working unauthorized overtime to finish her cases. On May 16, 2024, Kamoi submitted a formal request for reasonable accommodations signed by her physician. The doctor explicitly stated that Kamoi could maintain her high-quality work but required breaks to recover from pain attacks and additional time to complete assignments.

Within two weeks, Elevance Health denied the medical request.

Analyzing the Legal Claims

The California Fair Employment and Housing Act (FEHA) provides strict protections for workers facing medical challenges. Employers are legally obligated to engage in a timely, good-faith interactive process to find effective accommodations for employees with known disabilities.

Kamoi’s complaint outlines clear violations of these fundamental rights. By denying flexible scheduling, refusing to adjust arbitrary productivity quotas, and punishing her for the physical limitations caused by her illness, the company failed in its legal duties.

Gregory Helmer of Helmer Friedman LLP emphasizes the core legal standard at play. “The law is clear: an employer cannot penalize a disabled employee for being disabled, nor can it refuse to provide simple accommodations—like a little extra time—and then use the employee’s resulting ‘performance deficiency’ as a pretext for dismissal. That is precisely what the law against disability discrimination seeks to prevent.”

Furthermore, the lawsuit alleges severe retaliation. Under the California Labor Code and FEHA, employers cannot punish workers for requesting accommodations or reporting discriminatory behavior.

The Escalating Pattern of Retaliation

Kamoi filed complaints with the California Civil Rights Department in August and December 2024, detailing the company’s failure to accommodate her disability. Elevance Health’s response was swift and punitive.

In January 2025, management increased the productivity quotas again, demanding 2.5 cases per hour. Kamoi was subjected to verbal reprimands and targeted scrutiny. While her peers were evaluated on a standard monthly basis, Kamoi’s supervisor, Sharon Johnson, placed her under stringent weekly monitoring.

The harassment culminated on May 22, 2025. After badgering Kamoi over minor, split-second discrepancies in her timekeeping, Johnson summoned her to an abrupt telephone meeting. After 17 years of dedicated service to the company, Kamoi was fired immediately and told she was ineligible for rehire.

Broader Implications for Healthcare Workers

This case highlights a disturbing trend within corporate medicine. Healthcare workers are expected to operate with deep empathy and boundless endurance, yet they frequently face rigid, profit-driven metrics imposed by their employers.

James Carr of The Carr Law Group notes the underlying hypocrisy of the situation. “There is a cruel irony in a major health insurance company—one that profits from the healthcare system—showing such little regard for the health and dignity of a nurse who has dedicated 17 years to caring for its members.”

Employees facing major medical hurdles deserve a supportive environment, not a relentless campaign of disciplinary action designed to push them out the door. The law mandates that human dignity must take precedence over arbitrary hourly quotas.

Demanding Justice and Corporate Accountability

Priscilla Kamoi’s lawsuit against Elevance Health, Inc. (Case No. 26STCV08319) is a powerful step toward holding major corporations accountable for disability discrimination. No worker should be forced to choose between managing a debilitating illness and keeping their livelihood.

If you or a loved one has suffered from workplace discrimination, denied medical accommodations, or wrongful termination, you do not have to fight these battles alone. The legal team at Helmer Friedman LLP has over 20 years of experience advocating for justice and securing high-profile victories against massive corporations.

We offer free, confidential consultations to help you understand your legal rights and explore your options. Reach out today to partner with proven advocates who will fight tirelessly to protect your career and your dignity.

Wrongful Termination Dressed Up as Standard HR Practice

Shocked by Wrongful Termination, Helmer Friedman LLP.

Your Rights as a Disabled Employee: What the Law Requires

Every year, thousands of workers with disabilities are quietly pushed out of their jobs—not through outright hostility, but through policies that appear neutral on the surface while stripping away federally protected rights against wrongful termination and disability discrimination. Understanding what the law demands of your employer is the first step to protecting yourself.

Under both federal and California law, employees with disabilities have robust legal protections. The Americans with Disabilities Act (ADA) prohibits discrimination against qualified individuals with disabilities in hiring, firing, advancement, compensation, and other terms of employment. In California, the Fair Employment and Housing Act (FEHA) provides even broader protections, covering employers with five or more employees and applying strict standards to the accommodation process. Together, these laws form a powerful framework—one that employers routinely underestimate, often at significant financial cost.

Who Qualifies as a “Qualified Individual” Under the ADA?

Not every medical condition triggers ADA protections, but the law’s reach is broader than many employees realize. Under the ADA, a person is considered disabled if they have a physical or mental impairment that substantially limits one or more major life activities, have a record of such impairment, or are regarded by their employer as having such an impairment.

A “qualified individual” is someone who can perform the essential functions of a job—with or without reasonable accommodation. This distinction matters enormously. An employer cannot lawfully refuse to hire or retain someone simply because they have a disability, so long as the employee can fulfill the core duties of the role, either independently or with appropriate support.

Major life activities covered by the ADA include walking, lifting, sleeping, working, thinking, and communicating, among others. Courts have made clear that even temporary impairments can qualify—and that being cleared to return to work does not automatically mean an employee is no longer disabled.

What Are “Reasonable Accommodations”?

A reasonable accommodation is any modification or adjustment that allows a qualified individual with a disability to perform their job. Both the ADA and FEHA impose a legal duty on employers to explore and provide these accommodations—unless doing so would constitute an “undue hardship.”

Reasonable accommodations can include:

  • Medical leave for treatment or recovery
  • Job restructuring or modified schedules
  • Reassignment to a vacant position
  • Relocation of the work area
  • Modification of equipment or devices

The “undue hardship” exception is narrower than many employers claim. It requires proof of significant difficulty or expense, taking into account the employer’s size, financial resources, and operational structure. It is not a blanket excuse to avoid the interactive process.

Critically, when an employee requests an accommodation, the law requires employers to engage in a good-faith interactive process—a dialogue aimed at identifying effective solutions. Refusing to participate in that process is itself a violation.

Case Study: EEOC v. Geisinger Health — When “Most Qualified” Becomes Wrongful Termination

The case of EEOC v. Geisinger Health serves as a poignant reminder of the potential pitfalls associated with seemingly neutral workplace policies. At the heart of this story is Rosemary Casterline, a dedicated registered nurse at Geisinger Wyoming Valley Medical Center who devoted 30 years to her profession. After undergoing shoulder replacement surgery in October 2018 due to a rotator cuff injury, she faced unexpected challenges during her recovery. Fortunately, she received medical clearance to return to work in January 2019.

What happened next was a textbook example of ADA violations dressed up as standard HR practice. Rather than returning Casterline to her position, Geisinger posted the position as vacant and informed her that she would need to reapply and compete for her role. When she attempted to apply, the posting had already been removed. The hospital then gave her a hard deadline—obtain a new position by March 28, 2019, or be fired. She applied for numerous roles and was rejected from each. Geisinger terminated her employment on March 28 for failing to secure another position.

“Disability discrimination has no place in the workplace,” said Debra Lawrence, regional attorney for EEOC’s Philadelphia District Office. “Federal law prohibits employers from retaliating against or interfering with employees’ rights secured under the Americans with Disabilities Act, including when they seek a reasonable accommodation.”

Despite Casterline’s diligent efforts to apply for various roles, she faced rejection at every turn. Ultimately, Geisinger terminated her employment on March 28, citing her inability to find a new position.

In response, the EEOC stepped in, arguing that Geisinger’s “most qualified applicant” policy—mandating that employees returning from non-FMLA medical leave compete for reassignments—violated her rights under the ADA. The EEOC noted in its Letter of Determination that there was no substantial evidence indicating that it would have been an undue hardship for Geisinger to accommodate Casterline by holding her position open for her.

The court upheld the EEOC’s claims, finding sufficient grounds to believe that Geisinger interfered with employees’ efforts to exercise their ADA rights. This case emphasizes the critical importance of adopting compassionate policies that support individuals who are navigating health challenges. It serves as a reminder that practices requiring disabled employees on leave to compete for their own positions can lead to significant hardships and may attract scrutiny from the EEOC.

Case Study: Western Distributing’s $919,000 Settlement

The space where the Family and Medical Leave Act (FMLA) and the ADA meet is a complex legal landscape, one where employees are frequently and unjustly failed. These laws are not just regulations; they are lifelines. The FMLA offers up to twelve weeks of unpaid, job-protected leave, promising that an employee can return to their original or an equivalent role. The ADA builds on this, requiring employers to provide reasonable accommodations.

For Clinton Kallenbach, a long-serving driver at Western Distributing Company, these weren’t abstract legal concepts—they were promises of stability during a health crisis. After taking FMLA leave, he was cleared by his doctor to return to work, ready to get back behind the wheel. But Western Distributing refused to accept it. Instead of welcoming him back, they created a maze of demands for second opinions and further evaluations. It was a heart-wrenching series of delays that felt less like due diligence and more like a deliberate effort to push him out.

The courts saw through the charade, recognizing the company’s actions as a violation of both the ADA and the FMLA. Western Distributing was ordered to pay $919,000 to settle the disability discrimination lawsuit—a sum that reflects the profound harm inflicted on Kallenbach and the company’s blatant disregard for his rights.

His story is a painful reminder of what happens when the return-to-work process is weaponized. For an employee recovering from a medical condition, the path back to work should be one of support, not suspicion. Employers who use this vulnerable moment as an excuse for termination are not only breaking the law but also breaking faith with the people who depend on them, exposing themselves to severe legal and financial consequences.

In this case, the EEOC was represented in-house by trial attorneys Karl Tetzlaff, Michael LaGarde, Lauren Duke, Jeff Lee, and Assistant Regional Attorneys Rita Byrnes Kittle and Laurie Jaeckel.

What Employers Cannot Do: Prohibited Actions Under the ADA and FEHA

Beyond the duty to accommodate, both the ADA and FEHA impose specific prohibitions that employers frequently overlook or deliberately ignore.

Illegal Medical Inquiries: During the interview process, employers may not ask applicants about the existence, nature, or severity of a disability. Questions must be limited to whether the applicant can perform specific job functions. Under FEHA, employers are also prohibited from inquiring about prior Workers’ Compensation claims. Post-offer medical examinations are permissible only when required of all employees in similar roles and treated as confidential records.

The “Future Harm” Excuse: An employer cannot refuse to hire or retain a disabled employee on the basis that the person might pose a future risk to themselves or others. California law is explicit: the possibility of future harm is not a legally acceptable reason for discrimination. Each individual must be evaluated based on their current, actual condition—not hypothetical risk.

Retaliation: It is unlawful for an employer to retaliate against an employee for requesting an accommodation, filing a discrimination charge, or participating in any investigation or proceeding under the ADA. Requesting an accommodation is a protected activity. So is seeking additional medical leave. Employers who respond to these requests with adverse employment actions—demotion, termination, reassignment to inferior positions—face serious legal exposure.

Blanket Exclusion Policies: Any employment policy that automatically excludes entire groups based on a medical condition is generally unlawful. Individuals must be assessed on their specific condition and its actual effect on job performance—not on generalizations about their diagnosis.

Navigating a Complex Legal Framework

Disability rights law is not simple. It requires understanding the interaction between federal and state statutes, the procedural requirements of filing charges with the EEOC or the California Civil Rights Department, and the factual nuances that determine whether an employer’s conduct crosses the legal line.

The cases of Rosemary Casterline and Clinton Kallenbach demonstrate that even experienced employers with legal teams and established HR policies can—and do—violate the law. Their stories also demonstrate something else: that workers who know their rights and pursue them, with the right legal support, can achieve justice.

Protect Your Rights Before It’s Too Late

If you have been denied a reasonable accommodation, forced to compete for your own job after medical leave, subjected to illegal medical inquiries, or terminated after returning from a disability-related absence, the law may be on your side.

The attorneys at Helmer Friedman LLP have spent more than two decades representing employees in complex discrimination and wrongful termination cases. With a proven track record of significant settlements and court victories, the firm provides personalized, confidential advocacy for clients navigating the most challenging workplace situations.

Contact Helmer Friedman LLP today for a free, confidential consultation. Your rights matter—and so does the outcome of your case.

Charlotte E. Ray

Black History Month - Helmer Friedman LLP.

In 1872, Charlotte Ray became the first black female attorney in the United States. She was active in the NAACP and the suffragist movement.

Fun fact: she applied to and was admitted to Howard University Law School under the name “C. E. Ray,” in a possible attempt to hide her gender. #BlackHistoryMonth

Thurgood Marshall

Black History Month - Helmer Friedman LLP.

Thurgood Marshall made immeasurable strides for the civil rights movement during his lifetime.

Working under his mentor, the well-known civil rights icon Charles Hamilton Houston at the NAACP Legal Defense Fund, Marshall successfully argued Brown v. Board of Education, which famously declared the “separate but equal” doctrine unconstitutional.

In 1965, Marshall became the first black person appointed to the post of U.S. Solicitor General. Two years later, he became the first black person appointed to the United States Supreme Court, where he served until 1991.

Ketanji Brown Jackson

Black History Month - Helmer Friedman LLP.

Ketanji Brown Jackson was the first Black woman to sit on the nation’s highest court in its 223-year history.

Helmer Friedman LLP discusses President Bidens nomination of Judge Brown Jacksons to SCOTUS.Judge Jackson, who clerked for Justice Breyer, worked as a public defender, a corporate attorney, a U.S. District Court judge, and a judge on the U.S. Court of Appeals for the District of Columbia.

 

“If I’m fortunate enough to be confirmed as the next associate justice of the Supreme Court of the United States,” Judge Jackson commented in her prepared remarks about her nomination, “I can only hope that my life and career, my love of this country and the Constitution and my commitment to upholding the rule of law and the sacred principles upon which this great nation was founded, will inspire future generations of Americans.”

Since joining the Supreme Court, Justice Ketanji Brown Jackson has made valuable contributions, including writing a notable dissenting opinion in the Court’s ruling on presidential immunity involving then-former President Donald Trump. In her dissent, Jackson argued that the majority’s decision “breaks new and dangerous ground” by granting a former president immunity from prosecution for certain official acts. She expressed concern that this ruling could exempt presidents from legal liability for serious criminal acts as long as they claim their actions were “official acts.”

Jackson’s dissent emphasized the importance of holding presidents accountable for their actions and warned that the ruling could have disastrous consequences for democracy.

 

SHRM Hit with $11.5M Verdict: A Discrimination, Retaliation Case Study

Celebrating a victory for justice.

SHRM Hit with $11.5M Verdict: A Warning for Discriminatory Employers

It is the world’s largest Human Resources organization—the entity that sets the standards for workplace conduct across the globe. Yet, in a stunning courtroom defeat, the Society for Human Resource Management (SHRM) was found liable for the very behaviors it advises against.

On December 6, 2024, a Colorado jury handed down an $11.5 million verdict against SHRM in a racial discrimination and retaliation lawsuit brought by a former employee. For the HR community, this verdict is more than just a headline; it is a seismic event that exposes the dangerous gap between corporate policy and actual workplace culture.

The case of Mohamed v. Society for Human Resource Management serves as a stark reminder: no organization, regardless of its reputation or expertise, is above the law.

The Case Against SHRM

Rehab Mohamed, a brown-skinned Egyptian Arab woman, joined SHRM in 2016 as an instructional designer. For four years, she was a model employee, earning positive performance reviews and two promotions. By early 2020, she had risen to the role of Senior Instructional Designer.

However, the trajectory of her career shifted dramatically under a new supervisor, Carolyn Barley. Mohamed alleged that Barley systematically favored white employees while subjecting Mohamed to excessive scrutiny, micromanagement, and exclusion from meetings.

According to the lawsuit, when Mohamed attempted to address this disparate treatment, she was met not with support, but with retaliation.

A Pattern of Retaliation

The timeline of events presented during the trial painted a damning picture of SHRM’s internal response mechanisms:

  • June 2020: Mohamed formally complained to leadership about racial discrimination.
  • July 2020: Mohamed escalated her concerns to SHRM CEO Johnny C. Taylor Jr. and the Chief Human Resources Officer.
  • August 2020: Instead of a fair resolution, Mohamed was subjected to a flawed internal investigation that dismissed her claims.
  • September 1, 2020: Mohamed was fired, allegedly for missing a project deadline—a deadline imposed only after she complained, and for which white colleagues were reportedly given extensions without penalty.

Inside the Trial: Why the Jury Sided with the Employee

The five-day trial in the U.S. District Court for the District of Colorado revealed evidence that directly contradicted SHRM’s defense. The jury’s decision to award $1.5 million in compensatory damages and a staggering $10 million in punitive damages signals a rejection of SHRM’s narrative.

Flawed Investigations

One of the most critical failures highlighted during the trial was SHRM’s internal investigation. The judge noted that a jury could reasonably conclude the investigation was a “sham.” The investigator assigned to the case had minimal experience and admitted to receiving only one training session on HR investigations—details he could not recall on the stand. Furthermore, evidence suggested that termination paperwork was being drafted the same day Mohamed was still raising concerns about retaliation.

Disparate Treatment

Testimony revealed a clear double standard. White colleagues testified that missing deadlines was commonplace and rarely resulted in discipline. Yet Mohamed was terminated for missing a deadline shortly after engaging in protected activity. This disparity undermined SHRM’s claim that the termination was performance-based, especially given Mohamed’s history of “Role Model” performance reviews.

Reckless Indifference

The massive $10 million punitive damages award indicates the jury believed SHRM acted with “reckless indifference” to Mohamed’s federally protected rights. The court found that HR essentially provided cover for the discriminatory manager rather than protecting the employee.

Implications for HR Practices

This verdict sends a powerful message to employers everywhere: promoting best practices is not enough; you must live by them.

The Danger of Performative HR

SHRM’s defeat highlights the risks of “performative” diversity and inclusion. Mohamed met with the highest levels of leadership, including the CEO, yet the organizational machinery still moved to silence her rather than solve the problem. Organizations that claim to champion equity must ensure their internal actions align with their public messaging.

Accountability for Retaliation

Retaliation remains one of the most common—and costly—mistakes employers make. As this case demonstrates, the timing between a complaint and an adverse action (like firing) creates a “temporal proximity” that serves as powerful evidence of retaliatory intent.

Protection for Whistleblowers

This case reinforces the critical legal protections for employees who speak up. Under federal law, employees who report discrimination in good faith are protected from retaliation, even if the underlying discrimination claim is not ultimately proven.

Understanding Your Rights: The Legal Framework

The verdict in Mohamed v. SHRM was grounded in two key federal statutes that protect employees from workplace injustice.

Title VII of the Civil Rights Act of 1964

This federal law prohibits employment discrimination based on race, color, religion, sex, and national origin. Crucially, it also prohibits retaliation against employees who oppose discriminatory practices or participate in investigations.

Section 1981

Unlike Title VII, Section 1981 specifically prohibits racial discrimination in contracts, including employment contracts. A key distinction is that Section 1981 has no statutory cap on damages, allowing for potentially unlimited compensatory and punitive awards when egregious conduct is proven.

Strategies for Employees Facing Discrimination

If you suspect you are being targeted because of your race, it can feel isolating. However, there are steps you can take to protect yourself and build a potential case.

Document Everything

Paper trails are essential. Keep a detailed record of discriminatory comments, exclusion from meetings, or sudden negative shifts in performance reviews that contradict your actual output. In the SHRM case, the timeline of events—from the leadership change to the excessive scrutiny, micromanagement, arbitrary deadlines, and the flawed investigation—helped establish a pattern of behavior.

Conclusion

The $11.5 million verdict against SHRM is a vindication for Rehab Mohamed and a warning shot to corporations that prioritize reputation over rights. It demonstrates that juries are willing to hold even the most powerful “experts” accountable when they fail to protect their own people.

For employees, this case offers hope. It proves that with the right evidence and legal strategy, it is possible to stand up to systemic bias and win.

Disclaimer: While the parties in this case were not represented by Helmer Friedman LLP, the case offers crucial insights for employees facing similar situations.

 

 

Reps: SWAIN LAW, LLC, LOWREY PARADY LEBSACK, LLC (Case No. 1:22-cv-01625)

Discrimination Against American Workers: Your Legal Rights

Nationality Discrimination & Harassment is illegal. Helmer Friedman LLP Los Angeles Nationality Discrimination lawyers.

Protecting American Workers from Discrimination

When we consider workplace discrimination, our thoughts often gravitate toward the challenges faced by minority groups in terms of race, gender, or religion. However, it’s important to recognize that the legal frameworks in place to ensure fair treatment in the workplace, especially Title VII of the Civil Rights Act of 1964, encompass much broader protections. One significant but frequently overlooked aspect of this law is the protection against national origin discrimination.

For many professionals, the painful realization that they have been overlooked, sidelined, or let go in favor of foreign workers can be devastating. This experience strikes at the very heart of their financial security and professional self-worth. It’s crucial to understand that the protections against national origin discrimination also extend to U.S. citizens. Acknowledging this can empower individuals to stand up against unjust bias and advocate for their rights with confidence.

What is National Origin Discrimination?

National origin discrimination is a pressing issue that affects many individuals in the workplace, often causing significant distress. It occurs when an employer treats an applicant or employee unfavorably solely because of the applicant’s or employee’s country of origin. While discussions around this topic often highlight the importance of protecting immigrants, it’s essential to recognize that the Equal Employment Opportunity Commission (EEOC) makes it clear that these protections extend to all national origin groups, including those from the United States.

Under federal law, no one should face unfair treatment or preferential treatment in the workplace because of their background. This means it’s illegal for employers to favor foreign workers over American workers, including when decisions are made based on visa status. If an employer allows their preferences for workers from specific countries, or those holding certain visas like H-1B, to influence hiring, firing, or pay scales, they may unfortunately be violating Title VII. It’s crucial for everyone to be treated fairly and with respect, regardless of their origins.

Types of Discrimination Against American Workers

Discrimination can be subtle, hiding behind corporate jargon, or it can be brazenly open. For American workers, bias often manifests in specific patterns that disadvantage them compared to their foreign counterparts.

Discriminatory Job Advertisements

One of the most visible forms of discrimination appears before a worker is even hired. Title VII strictly bars discriminatory job advertisements. An employer cannot publish job postings that indicate a preference for or requirement of applicants from a particular country or with a particular visa status.

For example, advertisements that state “H-1B preferred” or “H-1B only” are red flags. These postings suggest that the employer has already decided to exclude U.S. workers from consideration, regardless of their qualifications. By actively discouraging American applicants, companies create an uneven playing field that violates federal law.

Unequal Treatment

Unequal or Disparate treatment refers to intentional discrimination where an employer treats individuals differently based on a protected characteristic. This often happens among American workers during recruitment or termination processes.

  • Hiring Barriers: Employers may erect artificial barriers to make it more difficult for American applicants to apply. For instance, during the PERM labor certification process—a step companies take to hire foreign workers permanently—some employers may subject U.S. workers to more burdensome application requirements than H-1B visa holders, effectively discouraging them from pursuing the role.
  • Termination and “The Bench”: Disparate treatment also occurs in firing decisions. In the IT and staffing sectors, workers often face time on “the bench” between assignments. Evidence of discrimination exists if a company terminates American workers on the bench at a much higher rate than it terminates visa guest workers in the same situation.

Harassment

Workplace harassment based on national origin is strictly prohibited. This goes beyond simple teasing; it becomes illegal when it is so frequent or severe that it creates a hostile or abusive work environment, or when it results in an adverse employment decision (such as being fired or demoted).

American workers might face unwelcome remarks about their work ethic compared to foreign nationals, or be subjected to derogatory comments about their “American” communication style or cultural background. When this conduct permeates the workplace, it creates an atmosphere of intimidation that the law does not tolerate.

Retaliation

Perhaps the most insidious form of misconduct is retaliation. Title VII prohibits employers from punishing an individual for engaging in a “protected activity.” Protected activities include:

  • Objecting to national origin discrimination.
  • Filing a charge with the EEOC.
  • Participating in an investigation.

If an American worker speaks up about a policy they believe favors foreign workers and is subsequently fired, demoted, or ostracized, the employer may be liable for retaliation. This charge can sometimes be easier to prove than the underlying discrimination itself.

What Doesn’t Excuse Discrimination?

Employers often attempt to justify discriminatory practices using business rationale. However, the law is clear that specific “business reasons” do not excuse hiring foreign workers over American citizens.

Customer Preference: An employer cannot claim that their clients prefer working with individuals from a specific country or those with specific visas. Customer bias is not a legal defense for discrimination.

Cost of Labor: The desire to save money does not override civil rights. Employers cannot justify displacing American workers simply because foreign labor is cheaper, whether that is due to abuse of visa-holder wage rules or “under the table” payments.

Stereotypes about Work Ethic: Beliefs that workers from a specific national origin are “more productive,” “harder working,” or possess a “better work ethic” than Americans are based on stereotypes. Using these generalized beliefs to make employment decisions is unlawful.

Real-World Examples: The Chivas USA Case

These protections are not theoretical; they are enforced in courts of law. A prominent example involving allegations of anti-American and anti-non-Latino discrimination is the lawsuit filed against the Major League Soccer organization, Chivas USA.

Two former youth academy coaches, Daniel Calichman and Theothoros Chronopoulos, filed a lawsuit alleging they were fired because they were “neither Mexican nor Latino.” The coaches, described in the complaint as “Caucasian, non-Latino Americans,” were former members of the U.S. National Team.

According to the complaint, after Jorge Vergara Madrigal acquired full ownership of Chivas USA, the organization began implementing an ethnocentric policy similar to the “Mexican-only” policy of its counterpart team, Chivas de Guadalajara. The lawsuit alleged that Vergara stated at a staff meeting, “If you don’t speak Spanish, you can go work for the Galaxy, unless you speak Chinese, which is not even a language.”

The plaintiffs claimed they were asked to provide ethnic data on youth players, and when they complained about the discriminatory environment to HR, no investigation was conducted. Instead, they were fired shortly after. This case highlights how leadership changes can lead to discriminatory shifts in culture and policy, and how American workers can find themselves targeted based on their national origin and race.

Filing a Charge with the EEOC

If you believe you have been a victim of national origin discrimination, you cannot immediately sue in federal court. You must first file a charge of discrimination with the U.S. Equal Employment Opportunity Commission (EEOC).

The attorneys at Helmer Friedman LLP can guide you through this complex process, ensuring your claim is filed correctly and on time. The EEOC investigates these charges and, in some instances, may file a lawsuit on your behalf. However, it is crucial to act quickly. There are strict time limits—generally 180 calendar days from the day the discrimination took place (extended to 300 days in some cases)—and missing these deadlines can result in a permanent loss of your legal rights. Contacting our firm can help you navigate these critical first steps.

Protecting Your Rights

Discrimination against American workers is a serious violation of federal law. Whether it manifests as a job ad that excludes you, a layoff that targets you while retaining visa holders, or a hostile work environment, you have the right to work in an environment free from bias.

Navigating the complexities of Title VII and EEOC procedures requires experience and tenacity. If you suspect you have been discriminated against based on your national origin, do not face it alone. Contact Helmer Friedman LLP today for a confidential consultation to discuss your situation and explore your legal options.

 

Thanksgiving Thoughts

Happy Thanksgiving from Helmer Friedman LLP message on wood with pies, pumpkins, heather.

As we approach this Thanksgiving, we take a moment to reflect on the principles that guide our work and the community we are proud to serve. This time of year offers a valuable opportunity to pause, gather with loved ones, and acknowledge the foundations of our collective strength and progress.

The pursuit of justice is a demanding endeavor, one that requires unwavering commitment and a clear-eyed view of the facts. Yet it is the human element—the stories of resilience, the fight for fairness, and the trust our clients and partners place in us—that truly fuels our purpose. We have witnessed firsthand the courage it takes to stand for what is right, and for that, we are profoundly grateful.

This Thanksgiving, we extend our deepest appreciation to you. Your partnership and belief in our mission are the cornerstones of our practice. We are honored to be your advocates and allies.

From all of us at Helmer Friedman LLP, we wish you and your families a peaceful and restorative Thanksgiving filled with warmth and gratitude.