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Consent   1.L.
Regular City Council Meeting
Meeting Date:
09/27/2010
TITLE
Approval of Settlement in a Human Rights Bureau Longevity Discrimination Claim
PRESENTED BY:
Tina Volek
Department:
City Hall Administration
Presentation:

PROBLEM/ISSUE STATEMENT

The City Council is being asked to approve a settlement about a claim of discrimination in longevity payments brought in the Montana Department of Labor & Industry Human Rights Bureau by six female employees in the Fire Department.  Since 1999, the Fire Chief and Assistant Fire Chief have been paid Public Safety command longevity, while the claimants and other non-represented employees throughout the City have been paid a longevity rate adopted by Administrative Order 89 in 2004.  While the City does not admit any unlawful discrimination in the case, a Human Relations Bureau investigator found reasonable cause to believe discrimination occurred.  If the City does not agree to the settlement, the case would proceed to hearing in the Human Rights Bureau and possibly to litigation. 

The cost of the proposed settlement is $55,600, including benefits and interest, for the difference between the command staff and non-represented employees from 2007, when the discrepancy was discovered, until 2010.  The payments are shown in Attachment A.   In addition, each of the six claimants would receive $5,000 in damages, and one plaintiff would receive $1,500 for an alleged City failure to produce public records.   The claimants would continue to receive command longevity pay for as long as longevity benefits are provided to City non-bargaining employees.  In addition, City Administration employees are required by the Human Relations Bureau to attend 2 hours of training on equal pay and the Government Code of Fair Practices.

The Council is being asked to address the proposed settlement at this time because, if it is not approved, pre-hearing statements are due to the Human Rights Bureau by Oct. 1.





ALTERNATIVES ANALYZED

The City Council may:
  • Approve the settlement; or
  • Deny the settlement, leading to a Human Rights Bureau hearing in which the Bureau could assign damages to the claimants  and lead to possible additional litigation.

     

FINANCIAL IMPACT

Cost of the estimated $87,100 settlement would come from the Fire Department's budget.

RECOMMENDATION

Staff recommends approval of the proposed settlement.

APPROVED BY CITY ADMINISTRATOR

Attachments