The Dial Corporation agreed on Tuesday to pay $10 million to settle a lawsuit
alleging sexual harassment at its Montgomery, Ill., facility, the Equal Employment
Opportunity Commission announced. The company did not admit that any sexual
harassment took place at the plant.
In the lawsuit, about 100 female employees had alleged they were subjected
to lewd comments, groping and other improper acts. Before the settlement, the
EEOC was seeking $27 million in damages. Jury selection was slated to begin
Monday, but the two sides entered last-minute negotiations that delayed the
trial, Reuters reports.
The female employees will average $100,000 in awards, with some receiving up
to $300,000 depending on the level of harassment and other factors, attorneys
for the EEOC tell Reuters. The news agency notes that 36 of the employees continue
to work at the plant.
Under the consent decree, in addition to monetary relief, the parties have
mutually agreed upon revisions to be made to Dial's existing policies and procedures
that prohibit sexual harassment at the facility. Further, an independent third
party will be mutually agreed upon to help resolve any future disagreements
over the resolution of complaints at manufacturing facility.
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"EEOC believes that the agreement reached in this case is in the best interests
of both the Dial family employer and employees and the public," says John
Hendrickson, EEOC's regional attorney in Chicago. "We are heartened by
Dial's determination to resolve the litigation and to move ahead in providing
a work environment that is safe and free of harassment. We are pleased to have
worked with Dial to put together a consent decree which will meet the needs
and aspirations of the parties and the Court."
Dial denied any wrongdoing.
"Today's announcement closes the door on this lawsuit, and we have agreed
with the EEOC to put the past behind us. Instead of looking backward, we have
made a business decision to move forward with our commitment to the moral and
business importance of providing equal opportunity and a positive work environment
for all of our employees," says Christopher J. Littlefield, Dial's senior
vice president and general counsel. "Simply put, Dial does not tolerate
harassment of any kind. It is directly contrary to our No Harassment Policy,
as well as our Cultural Contract and Code of Ethics and Business Responsibilities
that guide our decisions and actions every day."
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