What is the average EEOC settlement amount?
Asked by: Anibal D'Amore III | Last update: October 12, 2025Score: 4.5/5 (29 votes)
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.
What is the maximum payout for EEOC?
When it comes to California discrimination lawsuits, the potential payout varies greatly depending on the company's size. Take small businesses with fewer than 100 employees - they're looking at a maximum payout of $50,000. But scale up to 101-200 employees, and that number jumps to $100,000.
What is a typical settlement for an EEOC?
What is the Average Settlement for a Discrimination or Retaliation Claim? Based on data from the Equal Employment Opportunity Commission (EEOC), the typical settlement amount for employment discrimination claims stands around $40,000.
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.
How much should I ask for in a discrimination settlement?
I've seen firsthand how these cases can vary widely 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. But these are just ballpark figures.
How do I formulate my demand for mediation? Is mediation an interrogation?
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.
What is my EEOC case worth?
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.
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 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.
What do you get if you win an EEOC case?
A: The amount the EEOC awards for employment discrimination varies based on the size of the employer. For employers with 15 to 100 employees, the maximum award is $50,000. For 101 to 200 employees, the limit increases to $100,000, and it increases further to $200,000 when the employer has 201 to 500 employees.
What is the largest EEOC settlement?
- $176million, Nextel, June 2000. ...
- $175million, Novartis, July 2010. ...
- $172million, Texaco, November 1996. ...
- $132.5million, Shoney's, June 2005. ...
- $81.5million, Publix Super Markets, June 1995. ...
- $80million, Sodexho Marriott Services, August 2005. ...
- $54million, Morgan Stanley, September 2001.
What is the most common EEOC claim?
Most workers speak up about retaliation
In 2022, the most recent year with data available, there was little question that retaliation claims as the most common issue brought to the EEOC's attention. The agency found that 51.6% of the reports it investigated involved retaliation.
What is the average federal EEOC settlement?
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.
What is the EEOC settlement limit?
There are limits on the amount of compensatory and punitive damages a person can recover. These limits vary depending on the size of the employer: For employers with 15-100 employees, the limit is $50,000. For employers with 101-200 employees, the limit is $100,000.
How much money can you get for a civil rights violation?
Depending on your case, your financial settlement may range from thousands to millions of dollars. However, receiving a settlement from your civil rights lawsuit or legal action can take forever.
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.
Does EEOC negotiate settlements?
An Equal Employment Opportunity Commission (EEOC) administrative judge may suspend a hearing to allow the parties to settle a case and will accept a settlement to resolve the case at any time before a final decision is reached. The sooner a settlement is reached the better.
Can the IRS take money from a lawsuit settlement?
The IRS can only pursue those portions of the settlement not intended as reimbursement for property loss or physical injury. So, while this may not always happen, it is possible that the IRS might take at least some of your personal injury settlement.
How do I win an EEOC settlement?
- Act Promptly and Meet Deadlines. ...
- Understand Your Rights and Protections. ...
- Gather and Preserve Evidence. ...
- Be Thorough and Detailed in Your Complaint. ...
- Consider Consulting a Federal Employment Attorney. ...
- Stay Engaged and Responsive.
What happens if EEOC finds employer guilty?
When conciliation does not succeed in resolving the charge, the EEOC has the authority to enforce violations of its statutes by filing a lawsuit in federal court. If the EEOC decides not to litigate, the charging party will receive a Notice of Right to Sue and may file a lawsuit in federal court within 90 days.
How long does an EEOC lawsuit take?
On average, we take approximately 10 months to investigate a charge. We are often able to settle a charge faster through mediation (usually in less than 3 months). You can check the status of your charge by using EEOC's Online Charge Status System.
What is a good settlement offer?
A reasonable settlement offer is one that includes medical expenses, lost wages, pain and suffering, and property damage. While it varies from case to case, an experienced personal injury lawyers can help you find a reasonable amount for your case.
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.
How much money can you win from a discrimination lawsuit?
For companies with up to 100 employees, the limit of compensatory damages is $50,000. For those that have between 101 and 200 employees, the limit for damages is $100,000, while companies with between 201 and 500 employees have a limit of $200,000.