In a recent incident that has sparked important conversations around racial discrimination in the workplace, Sureste Property Group, along with its divisions Sureste Property Services and Sureste Development, agreed to pay $75,000 in a race discrimination lawsuit. The lawsuit alleged that the real estate operating company unjustly terminated a black project development manager due to his race.
“This case underscores the sad reality that racism in the workplace still exists,” said Marcus G. Keegan, regional attorney for the EEOC’s Atlanta District Office.
The former manager, who had been the first and only black individual in his role at the company, was said to have been fired under the pretense of being “lazy” and not fitting in with the company’s “culture.” Despite performing well and handling more workload than his white colleagues, he was let go less than a year into his role. The company later tried to justify the termination, claiming that his role was no longer required, only to promote a less qualified white employee to his position within a month.
Such an act contravenes Title VII of the Civil Rights Act of 1964, a law that explicitly forbids all forms of discrimination on the basis of race. Moreover, it is essential to note that employees who have signed arbitration agreements are not devoid of rights. The EEOC (Equal Employment Opportunity Commission) continues to be fully accessible for employees to assert their EEO rights and have their cases investigated, regardless of any pre-existing arbitration agreements.
This assertion is based on two significant Supreme Court rulings. The first, Gilmer v. Interstate/Johnson Lane Corp., articulated that an arbitration agreement does not preclude an individual from filing a charge with the EEOC. The second, EEOC v. Waffle House, Inc., maintained that the EEOC can pursue relief for a victim of discrimination, regardless of any enforceable arbitration agreement between the victim and their employer.
“When an individual is forced to arbitrate, they are giving up their fundamental constitutional right to a jury trial. As with all constitutional rights, we should analyze any waiver with an extremely high level of scrutiny.” Gregory D. Helmer, Helmer Friedman LLP, commented after a recent Court of Appeals victory involving mandatory arbitration.
With the conclusion of the Sureste Property Group lawsuit, a consent decree spanning three years has been approved by the federal court. The decree obliges the defendants, their subsidiaries, and successor companies to provide monetary relief, distribute anti-harassment and anti-retaliation policies, and post notices about the settlement. The company must also administer specialized training to all supervisors, managers, and employees, alongside regular reports on race discrimination complaints during the decree’s term to the EEOC.
This lawsuit reinforces the need for employees experiencing racial discrimination to pursue all legal avenues, regardless of any arbitration agreements. Discrimination in any form is unacceptable and employees have the right and freedom to fight against any such injustices.