© Zurich Re EMPLOYMENT PRACTICES LIABILITY Peter Szendro Zurich Reinsurance (North America), Inc.

© Zurich Re EQUAL EMPLOYMENT OPPORTUNITY COMMISSION (EEOC) Federal Agency Jurisdiction over major Federal Laws - Title VII - Civil Rights Act - American with Disabilities Act (ADA) - Age Discrimination in Employment Act (ADEA)

© Zurich Re PROHIBITED DISCRIMINATORY PRACTICES Harassment - Race, Color, Religion, Sex, National Origin, Disability, Age Employment Decisions based upon above factors Denial of Employment Opportunity, Marriage/Association - Protected Class Retaliation

© Zurich Re Prohibition Extends to Any Aspect of Employment -Hiring -Firing -Compensation Benefits -Promotion -Training -Recruitment

© Zurich Re TITLE VII Harassment Claims Hostile work environment Quid pro quo discrimination Same sex harassment (Oncale) ADA Corrective measures Recent U.S. Supreme Court Cases Sutton v. United Airlines Murphy v. United Parcel Service Albertson v. Kirkinberg

© Zurich Re REMEDIES C0MPENSATORY DAMAGES –Retroactive and Future Pay –Attorneys’ Fees –Court Costs –Expert Fees –Mental Anguish –Other Actual Monetary Loss, Past & Present DECLARATORY RELIEF –Hiring –Promotion –Reinstatement –Reasonable Accommodation PUNITIVE DAMAGES Egregious conduct not required (Kolstad) Employer good faith defense

© Zurich Re CURRENT TRENDS Age Discrimination Claims on the Rise Retaliation Claims Likewise Increasing Employer Counterclaims -Lauricia v. MicroStrategy, Inc. Trade Secrets Employer claim still in investigation phase Supreme Court Reviews Standard -Reeves v. Sanderson Plumbing Products Issue of Evidentiary Standard Pretext v. Pretext Plus

© Zurich Re CYBERSPACE AND EMPLOYEMENT PRACTICES Employee use of Internet - ECPA - Expectation of Privacy in Workplace - abuse/sexual harassment Need for corporate policy