In June 2024, a local employment verdict created whistleblower precedent in the field of sports medicine, a federal court narrowed the scope of what might be a hostile work environment, and Pennsylvania steelworkers sought to advance wage and hour rights for pre and post-shift obligations. See more below.
Jury Awards $5.25 Million to former Team Doctor for Penn State Football Team
A Pennsylvania jury has awarded Dr. Scott Lynch $5.25 million in damages against Penn State Health in a landmark whistleblower case in sports medicine. Dr. Lynch, formerly the orthopedic physician for Penn State University’s football team, alleged he was terminated for refusing to yield to undue pressure from head coach James Franklin regarding player health decisions.
The jury’s verdict, disclosed recently, detailed compensatory damages of $250,000 for lost wages and $5 million in punitive damages against Penn State Health’s Milton S. Hershey Medical Center and a supervisor accused of retaliatory actions. Dr. Lynch claimed that Coach Franklin had interfered with his decisions about how to treat injured players and when they should return to the field, and that when he reported his concerns to his supervisors at the hospital and the university in 2019, he was removed as the team’s doctor. Despite assertions by Penn State that the termination was part of a strategic reorganization, the jury upheld Lynch’s claims of retaliation and whistleblower status. Notably, although the complaint named Coach Franklin, Penn State, and several university officials as defendants, they were not included in the verdict because they had already been dismissed from the case in April, 2020 due to the expiration of the statute of limitations against them. Penn State Health has publicly stated that the verdict was incorrect, and that it may appeal.
Federal Court holds Single Instance of Slur by Co-Worker Not Enough for Hostile Work Environment
A Wisconsin-based manufacturer, Lakeside Plastics Inc. successfully defended a lawsuit brought by the U.S. Equal Employment Opportunity Commission (EEOC), which had accused the company of fostering a hostile work environment and retaliating against an employee. The case revolved around Brian Turner, a Black employee who alleged that a white co-worker, Curt Moraski, used racial slurs and created a hostile work atmosphere, leading to Turner’s dismissal.
U.S. District Judge William C. Griesbach granted summary judgment in favor of Lakeside Plastics, determining that the single documented instance of a racial slur at work did not meet the threshold for “severe or pervasive” discrimination. Judge Griesbach acknowledged that Moraski’s behavior was offensive and inappropriate. However, he noted that since Moraski was not Turner’s supervisor and the alleged incident was isolated, it was insufficient to substantiate claims of a hostile work environment.
The court also examined Turner’s termination, which occurred shortly after he reported the incident. The EEOC contended that the firing was retaliatory. However, Judge Griesbach found that Turner was terminated due to performance and attendance issues, not his complaint. Despite the EEOC’s argument that Turner had received high evaluations, evidence showed he had been late or absent on several occasions, which contributed to Lakeside’s decision.
This ruling underscores the legal complexities in proving workplace harassment and retaliation, highlighting that isolated incidents, unless quite severe, may not satisfy the legal criteria for a hostile work environment.
The case is Equal Employment Opportunity Commission v. Lakeside Plastics Inc., case no. 1:22-cv-01149, in the U.S. District Court for the Eastern District of Wisconsin.
Pennsylvania Steelworkers seeking Wages for Pre and Post-Work Duties
A lawsuit has been filed against U.S. Steel Corp. in Pennsylvania state court by James Nadalin, a utility technician at the Edgar Thomson steel plant in Braddock, Pennsylvania, alleging wage violations under the Pennsylvania Minimum Wage Act. The complaint, submitted to the Allegheny County Court of Common Pleas, claims that U.S. Steel failed to compensate employees for the time spent donning and doffing protective gear, as well as for walking between locker rooms and workspaces.
Nadalin, who often works 40 or more hours a week, argued that he and his colleagues were not paid for these pre- and post-shift activities, despite their necessity for workplace safety. The lawsuit seeks class certification to represent all hourly employees at the Edgar Thomson plant over the past three years, potentially encompassing hundreds of workers. The plant, part of U.S. Steel’s Mon Valley Works, combines raw materials in furnaces to produce liquid iron, which is then refined into steel.
This legal action mirrors a similar case filed in February against U.S. Steel by an employee at another Pittsburgh-area plant, also alleging violations of the Pennsylvania Minimum Wage Act for uncompensated pre- and post-shift work. The case is Nadalin v. U.S. Steel Corp., case number GD-24-006878, in the Court of Common Pleas of Allegheny County, Pennsylvania.
Jeff Burke is an attorney at MacElree Harvey, Ltd., working in the firm’s Employment and Litigation practice groups. Jeff counsels businesses and individuals on employment practices and policies, executive compensation, employee hiring and separation issues, non-competition and other restrictive covenants, wage and hour disputes, and other employment-related matters. Jeff represents businesses and individuals in employment litigation such as employment contract disputes, workforce classification audits, and discrimination claims based upon age, sex, race, religion, disability, sexual harassment, and hostile work environment. Jeff also practices in commercial litigation as well as counsels business on commercial contract matters.
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