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American Apparel to Pay $60,000 for Violating the Americans with Disabilities Act

EEOC charged manufacturer with firing worker while on disability leave.

Edited by Jill Jusko

Dec. 20, 2011

Clothing manufacturer and retailer American Apparel will pay $60,000 and take other actions to settle charges it violated the Americans with Disabilities Act (ADA).

In a federal lawsuit, the Equal Employment Opportunity Commission said the company violated federal law when it fired a garment worker while that worker was on leave due to a disability, thereby failing to accommodate him based on that disability.

As part of a three-year consent degree, American Apparel agreed to pay the fired garment worker $40,000.

According to the EEOC, the manufacturer also has adopted a comprehensive ADA policy, agreed to provide training to managers and supervisors about the ADA, will inform employees of their rights under the Americans with Disabilities Act, and will designate an ADA coordinator to oversee implementation of the court decree.

Also, $20,000 of the $60,000 settlement will be used by American Apparel to co-sponsor two seminars on rights of workers and responsibilities of employers under the ADA.

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