The Equal Employment Opportunity Commission (EEOC) was established by the passage of the Civil Rights Act of 1964. The EEOC is the enforcement agency for any issue dealing with employer/employee civil rights issues. The EEOC is often the first place an employee turns for legal recourse. DCInsurers-Mountain Insurance Brokers can provide your Colorado business with Insurance coverage called Employment Practice Liability, so call us today!
So What Happens When Your Firm Receives An EEOC Notice?
What happens next is often confusing to businesses, and lack of response can have serious consequences in later lawsuits. It is important to note, that at this point the notice is not a claim that will litigated in court. However, we do recommend you contact and review your case with an experienced EEOC attorney. Many times claimants use the administrative hearing process as part of discovery before a suit is filed.
After the investigation the EEOC will do one of two things: Issue a determination on the merits that there is no case for discrimination. The claimant will be sent a Dismissal and Notice of Rights letter. Two, issue a determination on the merits that there was a case for discrimination. Both parties will be invited to resolve the case through mediation. If this fails, the EEOC has the right to file a lawsuit in Federal Court.
How Does Employment Practices Liability Insurance (EPLI) Insurance Apply?
Employment Practice Liability Insurance (EPLI) usually covers the cost of defense, indemnity, and often administrative hearings and actions against the claims of the employee who allege their rights have been violated.
There are a number of things employers can do to reduce the probability of EEOC issues. Here are a few of the important actions to include in your employee relationships:
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