What is a typical settlement for an EEOC?
Asked by: Alvah Jakubowski | Last update: July 1, 2025Score: 4.3/5 (52 votes)
According to the Equal Employment Opportunity Commission (EEOC), the average settlement for employment discrimination claims is about $40,000. However, depending on the facts and circumstances of the case, settlements or verdicts can climb to seven figures.
What is the average EEOC settlement amount?
The average settlement for employment discrimination claims is about $40,000, according to the EEOC. While many cases settle out of court, some proceed to trial, making settlement amounts variable.
How much should I ask for in a discrimination settlement?
Average Disability Discrimination Settlements in California
The average settlement for a disability discrimination case can range from around $25,000 to $500,000. Less complex cases often settle for about $100,000 or less, while more involved cases can exceed $1,000,000.
What do EEOC settlements look like?
Settlements of EEO disputes may contain monetary payments that are independent of any personnel action, provided that the monetary payment does not exceed the amount of back pay, attorney's fees, costs, or damages the employee would have been entitled to in the case if discrimination had been actually found.
What are the odds of winning an EEOC case?
Q: What Are the Chances of Winning an EEOC Case? A: The EEOC has a very high success rate when it comes to court decisions, reaching favorable outcomes in nearly 96% of all district court cases stemming from EEOC complaints.
Evidence to Advance an EEOC Claim- Tips for Employees
What is the average EEOC award?
According to the Equal Employment Opportunity Commission (EEOC), the average settlement for employment discrimination claims is about $40,000. However, depending on the facts and circumstances of the case, settlements or verdicts can climb to seven figures.
What makes a strong EEOC case?
The EEOC bases its investigations on the facts presented by the employee. Without strong evidence, even legitimate claims may be dismissed. A compelling case demonstrates the actions taken against you, provides context, and establishes a clear connection to discrimination or retaliation.
How to calculate a discrimination settlement?
There is no magic formula to figure out what your case is worth. And while every case is different, some factors come up in most cases. The amount of the employee's economic loss is always important to consider. The seriousness and severity of the employer's or harasser's conduct is always important as well.
What is the highest paid discrimination lawsuit?
Sanford Heisler Sharp McKnight achieved the largest jury verdict in U.S. history in an employment discrimination case. A jury awarded $253 million after finding the pharmaceutical giant liable for gender discrimination in pay, promotions, and relating to pregnancy.
Does the EEOC get you money?
If the EEOC finds discrimination, we will work with your employer to fix the situation. You could receive money damages as part of that process. We also can seek promotions, reinstatement, and other workplace changes for you.
What is a reasonable settlement offer?
The settlement amounts should reflect the damages suffered by the plaintiff, including medical expenses, lost wages, pain and suffering, future medical care, and other related costs. The key to fair financial compensation is to determine whether the offer is reasonable and aligns with the extent of the damages.
How much settlement should I get?
The rough 'rule of thumb' that we generally use to determine the value of the average settlement agreement payout (in respect of compensation for termination of employment) is two to three months' gross salary (in addition to your notice pay, holiday pay etc., as outlined above).
What happens when the EEOC finds an employer guilty?
When the EEOC finds an employer guilty, they may attempt conciliation to negotiate changes in procedures and remedies for those affected; if unsuccessful, the victim may file a lawsuit or request the EEOC to file one on their behalf.
How much can I sue my employer for emotional distress?
The second type of emotional distress claim is one that is worth more than $50,000 up to hundreds of thousands of dollars, depending on the factual circumstances. You would need one or more medical opinions to support this claim and be prepared to have those medical advisors testify in court.
Do you have to pay taxes on EEOC settlements?
The general rule regarding taxability of amounts received from settlement of lawsuits and other legal remedies is Internal Revenue Code (IRC) Section 61. This section states all income is taxable from whatever source derived, unless exempted by another section of the code.
What does the EEOC consider a disability?
Definition of Disability
Has a physical or mental condition that substantially limits a major life activity (such as walking, talking, seeing, hearing, or learning, or operation of a major bodily function, such as brain, musculoskeletal, respiratory, circulatory, or endocrine function).
Does a discrimination settlement count as income?
Employment Discrimination Settlement Tax Treatment
Both are considered taxable “income” by the IRS. Generally, the attorney will negotiate and ultimately agree to an “allocation” in the settlement agreement between compensation for economic losses and emotional distress harm This can vary case by case.
What is a typical settlement in an EEOC mediation?
Though the EEOC does not report official average settlement amount numbers, the average monetary payout of a settled case, according to these numbers, would be $24,968.11. Keep in mind, however, that not all EEOC settlements involve monetary payouts.
How to find out settlement amount?
A standard formula for calculating an injury settlement includes multiplying the amount of your pain and suffering by your medical expenses and lost income. For calculating pain and suffering, a typical multiplier ranges between 1.5 and 5 and includes emotional distress and inconvenience.
How much can the EEOC award?
Limits On Compensatory & Punitive Damages
For employers with 101-200 employees, the limit is $100,000. For employers with 201-500 employees, the limit is $200,000. For employers with more than 500 employees, the limit is $300,000.
What percentage of EEOC cases won?
Performance Measure 2 for Strategic Objective I.A.: In each year through fiscal year 2026, the EEOC continues to favorably resolve at least 90% of enforcement lawsuits.
What should I ask for in my EEOC settlement?
Compensatory Damages: Covers lost wages, out-of-pocket job search costs, and lost benefits. Emotional Distress: Compensation for quality of life deterioration due to discrimination, assessed through personal and witness testimonies.
What words scare human resources?
Words like "harassment," "discrimination," and "lawsuit" are heavily loaded with legal implications, which can put HR on high alert. By using descriptive, neutral language, you can convey your concerns without triggering a defensive reaction.
What happens if EEOC finds reasonable cause?
If EEOC determines there is reasonable cause to believe discrimination has occurred, both parties will be issued a Letter of Determination stating that there is reason to believe that discrimination occurred and inviting the parties to join the agency in seeking to resolve the charge through an informal process known ...