Employment Law: How You Could Be Held Liable if a Manager Lies
May 24th, 2011In the recent 2011 case, Staub v. Proctor Hospital, the U.S. Supreme Court ruled that the ultimate decision maker, even if completely unbiased, is not safe in employment discrimination cases when the claimant can establish that a lower-level manager demonstrated discrimination.
In this particular case, two managers did not like one of their employees, Vincent Staub, because Staub was in the Army Reserves and as a result, he was absent from work one weekend a month and a few weeks out of the year. Rather than firing him, the managers decided to make working conditions so difficult that Staub couldn’t possibly live up to expectations.
The managers then handed the case to a hospital HR representative who reviewed it and, not knowing about the bias of the two managers or how they had conspired, fired Staub. Even though the HR representative acted in a good faith, Proctor Hospital was still found liable by the U.S. Supreme Court. (This has come to be known as the “cat’s paw” theory. The name of the theory refers to a 17th century French tale in which a monkey persuades a cat to reach into a fire to grab chestnuts. The monkey gets the chestnuts, while the cat gets a burned paw.)
In fact, the Court unanimously ruled that employers can be held liable for decisions that are at least made in part due to the influence of a manger or supervisor with discriminatory motives – even when the final decision maker is essentially used as a pawn. So even though, in the Staub case, there was no evidence that the HR representative had any ill feelings towards Staub or even knew how Staub’s managers felt, the Illinois hospital was still found liable for discrimination.
Clearly, HR and employment law can get complex. If you’re looking for some guidance and clarity, please contact Provisional. As a Northwest employment firm, we can offer you the HR and employment information you need to run your business efficiently and in compliance with complicated federal, state, and local employment laws. Please contact us today to learn more.




