Honeywell Agrees to $2.1M Age Discrimination Settlement

October 5, 2004 ( - Honeywell has agreed to pay $2.1 million to settle allegations that the company systematically discriminated against older workers.

The US Equal Employment Opportunity Commission (EEOC) had alleged in the lawsuit filed in federal court in New Jersey that a class of sales managers and representatives were either terminated or demoted in 1997 because of their age during a companywide reorganization, according to a news release. The agency said that younger workers with less experience were retained and/or offered those positions. The company has more than 100,000 employees in 95 countries.

EEOC’s litigation alleged violations of the Age Discrimination in Employment Act of 1967 (ADEA) at the company’s headquarters and various regions nationwide by representatives of the former AlliedSignal Automotive, which Honeywell, Inc. acquired during a 1999 merger.

Also as part of the settlement, Honeywell agreed to post a notice concerning the lawsuit at appropriate facilities and to provide training in the provisions of the ADEA to all the managers and supervisors in the Consumer Products Group (CPG) and Frictions Materials (FM) businesses. The term of the decree is approximately two years.

“We hail the willingness of all the parties to work together to craft a thorough and effective resolution to this lawsuit,” said Jacqueline McNair, Regional Attorney of EEOC’s Philadelphia office, who is overseeing the case. “While a substantial amount of money will flow to those who stepped forward and filed charges with the Commission as well as to others affected by the pattern of alleged age discrimination, the training required by the Consent Decree is also noteworthy as it will benefit all Honeywell employees in the CPG and FM businesses.”

The ADEA makes it illegal to deny a person any employment opportunity because of that person’s age (provided they are 40 or older).