Posts Tagged: court cases

Corning Glass Works v. Brennan: EPA Law Requires Equal Pay for Equal Work

In Corning Glass Works v. Brennan, 417 U.S. 188 (1974), the Supreme Court addressed the allocation of proof in pay discrimination claims under the Equal Pay Act of 1963. This was the first Supreme Court decision applying the Equal Pay Act. The Court held that to prevail on an EPA claim, the plaintiff must prove that the employer pays an employee of the one sex more than it pays an employee of the other sex for substantially equal work. The opinion addressed what it meant for two employees to perform “substantially equal work” for the purposes of the Equal Pay Act, including what it means for work to be performed under “similar working conditions.” 

Facts

Corning was a glassworks company. It employed night shift inspectors and day shift inspectors at its plants. For many years, Corning allowed only men to work the night shift, and it paid night shift inspectors more than it paid the day shift inspectors, who were women. In June 1966, three years after the passage of the Equal Pay Act, Corning began opening the night shift jobs to women, allowing female employees to apply for the higher-paid night inspection jobs on an equal seniority basis with men.  

In January 1969, Corning implemented a new “job evaluation” system for setting wage rates. Under that pay system, all subsequently-hired inspectors were to receive the same base wage (which was higher than the previous night shift rate) regardless of sex or shift. With respect to employees hired before the new pay system went into effect, however, the pay plan provided that those employees who worked the night shift would continue to receive a higher (“red circle”) rate. Because of this “red circle” rate, the new pay system perpetuated the previous difference in base pay between day and night inspectors, thereby also perpetuating the previous disparity in pay between female (day) inspectors and male (night) inspectors. 

The Equal Pay Act prohibits an employer from paying different wages to employees of opposite sexes “for equal work on jobs the performance of which requires equal skill, effort, and responsibility, and which are performed under similar working conditions,” except where the difference in payment is made pursuant to a seniority or merit system or one measuring earnings by quantity or quality of production, or where the differential is “based on any other factor other than sex.” 29 U.S.C. § 206(d)

The Secretary of Labor brought suit, asserting that Corning’s pay practices violated the EPA by paying male and female inspectors differently for equal work. 

The Court’s Decision

The Court addressed the question of whether Corning’s pay practices violated the EPA by paying different wages to employees of opposite sexes for “equal work on jobs the performance of which requires equal skill, effort, and responsibility, and which are performed under similar working conditions[.]” The Court found that they did. 

First, the Court held that Corning’s pay practices from the passage of the EPA in 1963 to June 1966 violated the EPA, because during that period the night shift inspectors (all male) were paid more than the day shift inspectors (female) and the night shift and day shift inspectors performed equal work “under similar working conditions.” 29 U.S.C. § 206(d). Corning argued the difference between working at night and working at day meant the different positions did not entail similar working conditions. The Court rejected this argument, holding that the EPA’s legislative history established that the statutory term “working conditions,” as used in the EPA, encompasses only physical surroundings and hazards, and not the time of day worked. 417 U.S. 197-204.

Corning also argued that the pre-1966 pay disparity was lawful because the higher pay to (male) night inspectors was intended as additional compensation for the inconvenience of night work, and thus the pay disparity was based on a “factor other than sex[.]” 29 U.S.C. § 206(d). The Court rejected this argument, holding the evidence showed the pay disparity in fact arose because men would not work for the low rates paid to women inspectors. The pay disparity therefore “reflected a job market in which Corning could pay women less than men for the same work.” 417 U.S. 204-05.

Second, the Court held that Corning did not remedy its violation of the EPA in June 1966 simply by permitting women to work as night shift inspectors, because the violation could only be cured by increasing the base wages of female day inspectors to meet the higher rates paid to night inspectors. Corning’s action in allowing women to work the night shift did not accomplish this, as “Corning’s action still left the inspectors on the day shift — virtually all women — earning a lower base wage than the night shift inspectors because of a differential initially based on sex and still not justified by any other consideration[.]” 417 U.S. 207-08. In effect, “Corning was still taking advantage of the availability of female labor to fill its day shift at a differentially low wage rate not justified by any factor other than sex.” Id. Thus, Corning’s allowing women to work the night shift, without increasing base pay to the female day shift workers, did not remedy the EPA violation. 

Finally, the Court held the Corning did not remedy its violation of the EPA in January 1969 with its pay plan equalizing day and night inspector rates, because the plan’s higher “red circle” rate paid to employees who previously worked the night shift only perpetuated the previous unlawful pay disparity. This was because the previously-hired male night shift workers would receive the higher red circle rate based on their pre-1969 pay — before day and night wage rates were equalized. Thus, the pay plan had the unlawful effect of continuing the pay disparity between men and women for equal work. As the Court observed, “the company’s continued discrimination in base wages between night and day workers, though phrased in terms of a neutral factor other than sex, nevertheless operated to perpetuate the effects of the company’s prior illegal practice of paying women less than men for equal work.” 417 U.S. 209-10.

Analysis

This case was important because it marked the first time the Supreme Court addressed the requirements of the Equal Pay Act. The Court held that to prevail on an EPA claim, the plaintiff must prove that the employer pays an employee of one sex more than it pays an employee of the other sex for substantially equal work. The opinion addressed what it meant for two employees to perform “substantially equal work” for the purposes of the EPA, and held that the requirement for work to be performed under “similar working conditions” referred to physical surroundings and hazards, and not the time of day worked. If a male employee and a female employee perform equal work at different times of the day, they should therefore be given equal pay — unless the pay disparity is based on a seniority or merit system or one measuring earnings by quantity or quality of production, or where the differential is “based on any other factor other than sex.” 29 U.S.C. § 206(d). If an employer’s pay practices violate the EPA, the only way to cure the violation is to equalize wages between men and women — simply offering women the same job titles is not sufficient. And pay systems that have the effect of perpetuating prior discrimination may still violate the EPA — even if the pay system is neutrally-worded and made without intent to discriminate. 

This site is intended to provide general information only. The information you obtain at this site is not legal advice and does not create an attorney-client relationship between you and attorney Tim Coffield or Coffield PLC. Parts of this site may be considered attorney advertising. If you have questions about any particular issue or problem, you should contact your attorney. Please view the full disclaimer. If you would like to request a consultation with attorney Tim Coffield, you may call 1-434-218-3133 or send an email to info@coffieldlaw.com.

McDonnell Douglas Corporation v. Green: A Framework for Analyzing Discriminatory Intent Using Indirect Evidence

In the landmark McDonnell Douglas Corporation v. Green, 411 U.S. 792 (1973), the Supreme Court described a burden-shifting framework by which employees can prove their employers engaged in unlawful discrimination under Title VII without any “direct” evidence of discriminatory intent. The enduring aspect of this case was the Court’s description of the burden-shifting proof framework, and not so much the outcome of particular factual case before it.

Summary

In short, McDonnell Douglas clarified that even if an employee lacks direct evidence of intentional discrimination (like a statement from her boss saying, “We’re firing you because of your race”), the employee can still prevail on a claim of intentional discrimination by presenting only indirect or circumstantial evidence that supports an inference of her employer’s discriminatory intent (like evidence that her boss replaced her with a less qualified employee of a different race). The opinion describes an order of presenting proof and shifting burdens to help courts analyze discrimination claims where the plaintiff has chosen to proceed using purely indirect or circumstantial evidence.

Facts

Green was a black mechanic, lab technician, and civil rights activist. He worked for McDonnell Douglas Corporation, a St. Louis aerospace company, until his termination in 1964. After his discharge, Green participated in a protest against McDonnell Douglas in which he asserted that his termination had been racially motivated and in violation of Title VII of the Civil Rights Act of 1964. The protest involved a “stall-in” in which protesters parked vehicles to block the roads leading to one of the company’s factories. Green was arrested for obstructing traffic. After the protest, McDonnell Douglas publicly advertised a job opening for qualified mechanics. Green applied for the position. Although Green was a qualified mechanic, McDonnell Douglas declined to hire him. McDonnell Douglas later defended this decision not to hire Green on the grounds that Green had engaged in illegal traffic-obstructing conduct while participating in the protest.

Procedural Posture

Green filed a charge with the Equal Employment Opportunity Commission (EEOC), alleging McDonnell Douglas refused to rehire him on the basis of race and retaliation in violation of Title VII. The EEOC found reasonable cause to believe McDonnell Douglas’ rejection of Green’s reemployment application violated the anti-retaliation provision of §704(a) of Title VII. That section forbids discrimination against applicants or employees for making any attempt to protest or rectify allegedly discriminatory employment conditions. 42 U.S.C. § 2000e–3(a). The EEOC made no finding as to Green’s allegation that McDonnell Douglas violated §703(a)(1) of Title VII, which prohibits racial and other types of status-based discrimination. 42 U.S.C. § 2000e–2(a)(1).

Green filed suit. The District Court dismissed Green’s claims, holding that McDonnell Douglas refused to rehire Green because of his participation in illegal protest demonstrations, rather than his race or opposition to racial discrimination. The District Court ruled that Green’s (illegally) obstructing traffic in protest was not an activity protected by §704(a), and dismissed Green’s §703(a)(1) racial discrimination claim on the grounds that the EEOC had made no finding of racial discrimination in any employment decision. The Court of Appeals affirmed the dismissal of the §704(a) retaliation claim. But it reversed the dismissal of Green’s §703(a)(1) racial discrimination claim, holding that an EEOC determination of reasonable cause was not a jurisdictional prerequisite to pursuing a discrimination claim in federal court violation. McDonnell Douglas appealed this decision. The Supreme Court granted cert.

The Court’s Decision: A Framework for Analyzing Indirect Evidence of Discrimination

In a 9-0 decision in favor of Green, the McDonnell Douglas Court described burden-shifting framework of organizing and evaluating indirect proof of discrimination. An employee may use this approach to show intentional discrimination by an employer in the absence of any direct evidence of discrimination. More than 45 years later, the McDonnell Douglas framework continues to guide lower courts’ summary judgment analyses of many discrimination and retaliation claims.

The McDonnell Douglas framework entails three discrete steps. First, the plaintiff employee must establish a prima facie case by presenting sufficient indirect evidence to give rise to an inference of discrimination. For example, in a non-hiring case, the employee can establish a prima facie case by presenting evidence that (1) the employee is a member of a Title VII protected group; (2) she applied and was qualified for the position sought; (3) the job was not offered to  her; and (4) the employer continued to seek applicants with similar qualifications. Similarly, in a demotion or termination case, the employee can establish a prima facie of racial discrimination case by showing (1) that she is a member of a Title VII protected group, (2) that she was qualified for the position she held, (3) that she was demoted and/or discharged from that position, and (4) that the position remained open and was ultimately filled by a someone of a different race. See, e.g., St. Mary’s Honor Ctr. v. Hicks, 509 U.S. 502, 506 (1993).

If the employee can prove the elements of a prima facie case, the McDonnell Douglas analysis moves to the second step.

In that second step, the burden shifts to the defendant employer. The employer is allowed to offer a purported non-discriminatory reason for the adverse action suffered by the employer— such as the refusal to hire, or a termination. For example, in McDonnell Douglas, the employer argued that it refused to rehire Green not because of his race, but because he illegally obstructed traffic. Once the employer offers a non-discriminatory reason for its decision, the burden shifts back to the employee.

In that final step of the McDonnell Douglas framework, the plaintiff employee must be allowed the opportunity to demonstrate that the defendant’s proffered explanation is not consistent with a completely honest or unbiased view of the employee, making the explanation “pretext” for a discriminatory bias underlying the adverse employment action.

The Court therefore held that while the Court of Appeals correctly found Green proved a prima facie case of race discrimination, it erred in holding that McDonnell Douglas had failed to discharge its burden of presenting a legitimate, non-discriminatory reason for its decision to not rehire Green (his participation in illegal traffic obstructing). Critically, the Court made clear that on remand the employee Green must be given a fair opportunity to show that his employer’s stated reason was a pretext for a racially discriminatory decision. The Court indicated that one way an employee in Green’s position could successfully demonstrate pretext was with comparator evidence — such as by showing that white employees who engaged in similar illegal activity were retained or hired by McDonnell Douglas. Other evidence that may be relevant at the pretext stage, depending on the circumstances, could include evidence that the employer had discriminated against the respondent when he was an employee, or followed a discriminatory policy toward minority employees. See McDonnell Douglas, 411 U.S. at 804-05. This framework and its application has been the topic of much scholarly literature.

The McDonnell Douglas Court agreed with the Court of Appeals that an employee’s right to bring suit under Title VII is not confined to charges as to which the EEOC has made a reasonable cause finding.

Analysis

McDonnell Douglas clarified that even if an employee lacks direct evidence of intentional discrimination (like an admission from a supervisor that the employee was fired because of her race), the employee can still prevail on a claim of intentional discrimination by presenting only indirect or circumstantial evidence that supports an inference of her employer’s discriminatory intent (like evidence that her boss replaced her with a less qualified employee of a different race). The opinion there describes an order of presenting proof and shifting burdens to help courts analyze discrimination claims that turn on purely indirect or circumstantial evidence. First, the employee must establish a prima facie case which will give rise to an inference of discrimination. Second, the employer is allowed to offer a purported non-discriminatory reason for its adverse action against the plaintiff. And in the final step of this framework, the employee must be allowed the opportunity to show that the employer’s proffered explanation is just pretext for discriminatory bias.

It is worth noting that for an employee to prove unlawful discrimination, the McDonnell Douglas proof framework is not required. Rather “discrimination may be proven through direct and indirect evidence or through the McDonnell Douglas burden-shifting framework.” Jacobs v. N.C. Admin. Office of the Courts, 780 F.3d 562, 572 (4th Cir. 2015) (emphasis added) (citing Raytheon Co. v. Hernandez, 540 U.S. 44, 49-50 & n3 (2003)). As noted above, direct evidence is “evidence of conduct or statements that both reflect[s] directly the alleged discriminatory attitude and … bear[s] directly on the contested employment decision.” Warch v. Ohio Cas. Ins. Co., 435 F.3d 510, 520 (4th Cir. 2006) (quoting Taylor v. Virginia Union Univ., 193 F.3d 219, 232 (4th Cir. 1999) (en banc)).

The McDonnell Douglas framework turns on circumstantial evidence and inference, having the employee demonstrate the employer’s proffered non-discriminatory reason for termination is “unworthy of credence.” Texas Dep’t of Cmty. Affairs v. Burdine, 450 U.S. 248, 256 (1981). “The Supreme Court constructed the elements of the [McDonnell Douglas] prima facie case to give

plaintiffs who lack direct evidence a method for raising an inference of discrimination.” Diamond v. Colonial Life & Acc. Ins. Co., 416 F.3d 310, 318 (4th Cir. 2005) (citing Burdine, 450 U.S. at 253–54 and Costa v. Desert Palace, Inc., 299 F.3d 838, 855 (9th Cir. 2002), aff’d, 539 U.S. 90 (2003)).

Where “a plaintiff has direct evidence of discrimination … the McDonnell Douglas framework is of little value[.]” Id. at 318 n4 (citing Price Waterhouse v. Hopkins, 490 U.S. 228, 271 (1989) (O’Connor, J., concurring) (noting that the Supreme Court has suggested that the burden-shifting framework is inapplicable where a plaintiff presents direct evidence of discrimination)).

An employee who has direct evidence of discrimination, or a combination of direct and indirect evidence, may therefore prove her claims without using the McDonnell Douglas method.

This site is intended to provide general information only. The information you obtain at this site is not legal advice and does not create an attorney-client relationship between you and attorney Tim Coffield or Coffield PLC. Parts of this site may be considered attorney advertising. If you have questions about any particular issue or problem, you should contact your attorney. Please view the full disclaimer. If you would like to request a consultation with attorney Tim Coffield, you may call 1-434-218-3133 or send an email to info@coffieldlaw.com.

 

Originally published on timcoffieldattorney.com