Reno, NV – Two former employees of PRC Industries, Inc., an e-commerce remanufacturing company, will receive a $400,000 settlement to resolve a racial harassment and retaliation lawsuit, according to the Equal Employment Opportunity Commission (EEOC).
The lawsuit alleged that the two black workers endured months of racial slurs and taunts, including the n-word, and hostility from their supervisors. The workers reportedly reported the harassment to PRC leadership, but the company failed to intervene.
One of the workers escalated their complaint to a Vice President, who then fired the worker via text message.
The EEOC found that PRC Industries violated Title VII of the Civil Rights Act of 1964, which prohibits racial harassment and retaliation. Title VII also requires employers to take prompt action to investigate and stop misconduct after becoming aware of it.
As part of the settlement, PRC Industries will retain a consultant to improve and implement policies and procedures prohibiting racial harassment and retaliation. The company will also establish a comprehensive and effective complaint process, hold supervisors and managers accountable for compliance with these measures, and train all employees, supervisors, and managers on anti-discrimination laws.
“Employers who ‘know or should know’ of harassment must take action that is prompt, appropriate and effective,” said EEOC San Francisco District Director Nancy Sienko. “Respond to reports of harassment with all due consideration, check your policies, and invest in staff training to ensure they properly implement those policies.”
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