The Equal Employment Opportunity Commission (EEOC) recently settled a sexual harassment lawsuit against Mint Julep Restaurant Operations, LLC, franchisee of a Cheddar’s restaurant in Memphis, Tennessee. The allegations in the lawsuit reflect a reality in the restaurant industry that, unfortunately, is all too common. According to a report released in 2014 by The Restaurant Opportunities Centers United and Forward Together, “sexual harassment in restaurants is widespread and is experienced by all types of workers.” The report was based on a survey of 688 current and former restaurant workers across 39 states who were asked questions about their experience with sexual conduct at work. Roughly two-thirds of female respondents reported having experienced some form of sexual harassment by management. The survey further found that incidents of sexual harassment by co-workers and customers were even higher.

The EEOC’s case against the Memphis Cheddar’s franchise is indicative of the many charges it receives each year from restaurant workers. In this posting, we’ll summarize the allegations in the EEOC’s case against the Cheddar’s franchise and the terms of the parties’ settlement. If you’ve experienced sexual harassment at work and would like to discuss your legal options, please contact Eisenberg & Baum. We have an experienced group of New York sexual harassment attorneys who are ready to help and advocate on your behalf.

The EEOC’s Allegations

The EEOC’s lawsuit, filed in federal court in Tennessee, alleged that female employees of the Cheddar’s restaurant had been subjected to a hostile work environment through sexual harassment by management. Sexual harassment is a form of gender discrimination and a violation of Title VII of the federal Civil Rights Act. As we discussed in our prior blog posting, “What is a ‘Hostile Work Environment’?,” a hostile work environment is a type of employment discrimination claim often used in sexual harassment cases. In order to prove a sexual harassment claim based on a hostile work environment, an employee must show they experienced unwelcome sexual conduct and that the conduct was so severe or pervasive it affected the terms of their employment.

In the Cheddar’s case, the EEOC brought the hostile work environment claim on behalf of the alleged victims, contending that the restaurant allowed managers to subject female employees to a number of different types of sexual conduct, including touching, requests for sexual favors and inappropriate comments. Though the restaurant apparently had a sexual harassment policy in place, the EEOC indicated it failed to properly enforce that policy when female employees complained about the inappropriate conduct.

Terms of the Settlement

In February, the EEOC announced it had reached a settlement with the Cheddar’s franchise. The restaurant agreed to pay $450,000 in damages to 15 individuals. In addition, the restaurant agreed to take affirmative steps to address the work environment in its restaurant, including:

• conducting sexual harassment training,
• maintaining workplace cameras,
• monitoring workplace behavior,
• notifying its employees of the settlement, and
• reporting future sexual harassment incidents to the EEOC for three years.

This mixture of monetary damages and affirmative relief is standard in many EEOC settlements, as it helps both remedy damage done to victims and avoid future incidents. To learn more about the types of remedies that can be available in sexual harassment cases, check out our prior posting, “What Are My Remedies if I Sue for Discrimination at My Job?”

Get Legal Help

Working in a restaurant environment can be hard, made only harder by sexual harassment from managers, coworkers and customers. If you’ve been the victim of sexual harassment at your job, please contact us. We can discuss the merits of your case and advise you on the next steps, whether that is filing a charge with the EEOC or pursuing other legal options. We offer free initial consultations for sexual harassment claims and bill on a contingent fee basis, so you won’t have to pay us unless we win or settle your case.