Temp Agency Settles on Multiple Discrimination Charges

November 18, 2005 (PLANSPONSOR.com) - SPS Temporaries Inc. of Buffalo, New York and two of its clients have agreed to a settlement in a lawsuit accusing them of race, sex, disability, age and national origin discrimination.

The Associated Press reports that Equal Employment Opportunity Commission (EEOC) attorney Robert Rose said that SPS has agreed to pay up to $500,000 into a claims fund to be distributed to alleged victims of the discrimination, which could number in the hundreds or thousands. The two SPS clients will contribute a combined $80,000.

The lawsuit was filed in January 2004 accusing SPS of complying with clients’ requests for only white or male employees, and of improperly screening employees to weed out those with potential medical issues, according to the AP.

The agency also was accused of refusing to allow a full-time employee return to work following her maternity leave, and then advertising for the position in the newspaper. One applicant said he was denied a job after revealing he had carpal tunnel syndrome.

SPS President Paul Alberti said his company has always operated within state and federal guidelines. The company admitted to no wrongdoing and said the settlement was financially preferable for the company over defending itself in court.