It is important to know the essential variables and factors to consider when assessing the value of sexual harassment lawsuit awards.
In Pennsylvania, workplace sexual harassment involves unwelcome advances or actions of a sexual nature that interfere with a person’s work, create a hostile environment or become a condition of employment or the basis for employment decisions.
The law entitles persons with sexual harassment claims to seek remedy in court or through settlement. The kind of remedy you seek depends on the facts of each case. For example, when an employer demotes an employee for rejecting their sexual demands, the employee may seek an order to be reinstated into the original position. The court may also order the defendant to compensate the plaintiff for losses.
Partnering with an attorney is helpful whether you negotiate a settlement or institute a civil action against the harasser.
What Is the Average Settlement Value for Sexual Harassment Cases?
If you have a sexual harassment case against your employer, you can often reach a settlement or pursue a verdict. The value of sexual harassment settlements may vary significantly depending on several factors.
According to a 2022 United States Equal Employment Opportunity Commission (EEOC) report, the agency recovered $299.8 million for 8,147 individuals with sexual harassment claims through resolved charge receipts and litigation between 2018 and 2021.
Factors that influence the value of sexual harassment settlements include, but are not limited to, the nature of the sexual harassment and the amounts lost and expenses incurred due to or arising from the incident, legal fees and compensation for emotional pain and suffering.
Damages For Sexual Harassment Cases
Persons with sexual harassment claims may receive damages depending on the harm suffered because of the sexual harassment. The factors to consider in arriving at an amount include the following:
1. Front Pay
Where you lose your job or quit because of sexual harassment, you may be entitled to seek reinstatement. The challenge is that reinstatement may be impracticable, given the circumstances. For example, persons who are sexually harassed may be unwilling to return to that working environment or the position may no longer be available. In that case, claiming an award of front pay instead may be the best course of action.
The purpose of front pay is to compensate you for any wage or benefit loss you’re likely to suffer until you obtain similar employment. There are several factors to guide you in determining the value of a front-pay award, including:
- Your age
- Your pre-incident earning capacity
- The fringe benefits offered in your previous employment
- The tenure of your last employment
- How long other employees in a similar position work for employers
- How long it might take you to find a similar job
The plaintiff must take reasonable steps or make good faith efforts to mitigate damages or financial losses.
2. Back Pay
Back pay includes wages, additional compensation, fringe benefits and other economic damages from the date of the detrimental employment decision to the date of judgment or settlement. When calculating restitution for back pay, consider the following:
- Lost wages and raise you may have received
- Benefits such as life and health insurance
- Commissions, bonuses or tips
- Vacation and sick pay
- Retirement or pension contributions
- Stock options, profit sharing and other vested interests
Like front pay, the plaintiff has a duty to make good faith efforts to mitigate any losses, such as taking reasonable steps to find another job after quitting or losing the previous position. If you’re unable to secure new employment, you may be entitled to claim your lost wages in full. However, if you find a new job, your back pay award may be reduced by the amount of your earnings.
3. Compensatory and Punitive Damages
Whenever you encounter any form of sexual harassment or workplace discrimination, the goal of the law is to put you in the same or nearly the same position as you would have been if the incident had never occurred. In addition to or in place of assuming your deserved role at work, the court may order the payment of money.
Besides the losses the plaintiff incurs, like front and back pay, the court may order the defendant to pay damages to the plaintiff. The damages may be compensatory or punitive, depending on their purpose. For example, the court awards compensatory damages to compensate the plaintiff for their injuries. This includes compensation for pain and suffering, such as emotional and mental anguish, inconvenience, reputational harm and general expenses like job search and medical bills.
On the other hand, punitive damages punish the employer or harasser for their harmful conduct. Typically, the court will grant punitive damages where the act was egregious, such as fraud, lies and other serious misconduct. An example might be a situation where the employer terminates an employee’s contract after the latter refuses several sexual advances, then proceeds to spread unfounded rumors about the employee alleging drug use and theft.
The court may also award punitive damage where your employer knew of the harassment but ignored or refused to take steps to correct the situation. If human resources or a person in upper management knew of the problem but failed to take action, the court may deem the employer to be aware of it.
Federal law limits the compensatory and punitive damages a person can recover. The limits typically depend on the size of the employer. Therefore, a person may recover up to:
- $50,000, where the employer has 15 to 100 employees.
- $100,000, where the employer has 101 to 200 employees.
- $200,000, where the employer has 201 to 500 employees.
- $300,000, where the employer has more than 500 employees.
The Pennsylvania Human Relations Act (PHRA) does not provide a cap on the amount a person may claim as compensatory damages. However, the Supreme Court has held that punitive damages are unavailable under the PHRA. This makes it crucial to know the requirements under the various sexual harassment laws.
4. Attorneys’ Fees
You may claim attorneys’ fees and costs, including filing fees if you win your sexual harassment case. The court may require your attorney to present a statement of their services to ensure the fee request is reasonable.
Consult Weisberg Cummings and Get a Free Consultation Today
Assessing your sexual harassment lawsuit or settlement amounts can be complex, considering that each case’s facts will differ. It is key to know which factors are most relevant when determining your claim’s worth. These factors may include front pay, back pay, compensatory and punitive damages and legal fees. Besides understanding how much a sexual harassment lawsuit is worth, partnering with an attorney could increase your chances of success.
Weisberg Cummings represents many people in their sexual harassment claims. Our experienced and diligent attorneys will listen and help you get what you deserve. Contact us today for a free consultation!