California Asian Food Companies to Pay $245,000 in Sexual Harassment and Retaliation Lawsuit

Background:

Pacific Culinary Group, Inc. and CB Foods, Inc., California-based Asian food companies, have agreed to pay $245,000 and implement injunctive relief to settle a sexual harassment, retaliation, and constructive discharge lawsuit filed by the U.S. Equal Employment Opportunity Commission (EEOC). The lawsuit was filed on behalf of a class of male and female food production workers, including those with limited English proficiency, at the companies’ Monterey Park location.

Allegations:

The EEOC alleged that Pacific Culinary and CB Foods subjected their employees to ongoing verbal and physical harassment. The lawsuit detailed that the companies' chief operating officer sexually harassed both male and female employees, engaging in frequent and offensive groping and touching, making unwelcome sexual advances, commenting inappropriately on their appearances, and asking invasive questions about their sexual preferences and activities. Despite receiving multiple complaints, the companies allegedly failed to take effective action, allowing the harassment to persist. Additionally, the EEOC claimed that employees who reported the harassment faced retaliation, including further harassment, disciplinary actions, and, in some cases, termination. These intolerable working conditions led some employees to quit rather than endure the ongoing harassment.

Settlement:

To resolve the lawsuit, Pacific Culinary and CB Foods, along with their successor JRC Culinary Group, have agreed to a consent decree that includes a $245,000 payment to the affected employees. The decree mandates injunctive relief measures such as reviewing and revising company policies to comply with Title VII of the Civil Rights Act of 1964, ensuring all employees receive training on discrimination, harassment, and retaliation, and conducting audits to hold employees, supervisors, and managers accountable. The companies will also establish a complaint procedure, including a toll-free hotline and an online process, and maintain records of complaints and their resolutions. This decree, approved by U.S. District Judge Fernando L. Aenlle-Rocha, will remain under court jurisdiction for three and a half years.

Recommendation:

To prevent similar issues in the future, it is crucial for companies, especially those in the food production industry, to implement regular sexual harassment training for all employees. Training should cover recognizing and reporting harassment, understanding employee rights, and fostering a respectful workplace. Employers should ensure that their complaint mechanisms are accessible to all workers, including those with language barriers, and promptly address any issues that arise.

Conclusion:

This settlement underscores the importance of maintaining a workplace free from harassment and retaliation. Companies must take proactive measures to protect their employees and comply with federal laws. The steps mandated by this settlement aim to create a safer and more inclusive environment for all workers.