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Allstate Settles Age Bias Class Action

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Copyright 2009 Gale Group, Inc.All Rights ReservedASAPCopyright 2009 Axon Group Risk & Insurance

October 15, 2009

Pg. 6(1) Vol. 20 No. 13 ISSN: 1050-9232

211061528

105 words


Allstate settles age bias class action; NEWS & NOTES



Allstate Insurance Co. has agreed to pay $4.5 million to about 90 former employees to settle an age discrimination lawsuit, the U.S. Equal Employment Opportunity Commission announced in September.

The 2004 litigation with the EEOC stems from the insurers efforts in 2000 to convert its 15,000-member agent workforce to independent contractors from regular employees. The EEOC said Allstate had adopteda hiring moratorium for a period of one year, or while severance benefits were being received, that had a disproportionate impact on workers over age 40 because more than 90 percent of the agents subjected to it were in that age group.

November 4, 2009




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