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Pregnancy Discrimination Claims Should Not Be Overlooked

Companies tend to focus on the more prevalent topic of sexual harassment, and often overlook the issue of pregnancy discrimination in the workplace. Yet, according to the United States Census Bureau, 80 percent of women bear children at some point in their lives. There are more women staying in the workplace for the duration of their pregnancy. In the 1970's more than half of the women in the workforce quit their jobs when they became pregnant. By the 1990's, that number was down to 27%.

Moreover, according to the Equal Employment Opportunity Commission (EEOC), pregnancy discrimination complaints have risen nearly forty percent over the past decade. Pregnancy discrimination is one of the fastest growing types of employment discrimination claims, outpacing the rise in sexual harassment claims.

For the year 2004, the EEOC received and recovered $11.3 million in monetary benefits for charging parties and other aggrieved individuals (not including monetary benefits obtained through litigation). In 1992, the amount collected was only a little over $3 million.

Many large employers have been hit with pregnancy discrimination claims. Verizon settled a major class action lawsuit brought by employees who claimed they were denied service credit in their retirement program for leaves taken relating to pregnancy and maternity. Wal-Mart settled a pregnancy discrimination suit brought by a woman who claimed the company refused to rehire her because she was pregnant. In addition to the obvious risk of liability, pregnancy discrimination can lead to a desire for the woman to not return to work or can be a setback to career advancement.

Law Requires Same Treatment

Both federal and state law require that pregnant women be treated in the same manner as other applicants or employees with similar abilities or limitations.

Discrimination on the basis of pregnancy, childbirth or related medical condition is prohibited by federal and state law under the federal Pregnancy Discrimination Act of 1978 (PDA) and the state Fair Employment and Housing Act (FEHA). Pregnancy discrimination is considered a form of unlawful sex discrimination.

Harassment on the basis of pregnancy is further prohibited, as is retaliation for complaining of pregnancy discrimination. An employer also cannot discriminate against, harass, or retaliate against an employee because she has exercised her right to take a pregnancy disability leave.

For instance, terminating or refusing to promote an employee because of pregnancy is unlawful.

An employer cannot refuse to hire a woman because of her pregnancy related condition as long as she is able to perform the major functions of her job. An employer cannot refuse to hire her because of client or customer prejudices or preferences.

An employer also cannot refuse to provide reasonable accommodations to an employee because of her pregnancy. Moreover, an employer cannot refuse to transfer an employee affected by pregnancy. If the employee requests a transfer and it is recommended by her physician, the work assignment may be changed if it can be reasonably accommodated.

Benefits Should Also Be the Same

If the employer provides health insurance, it must cover expenses for pregnancy-related conditions on the same basis as costs for other medical conditions. Health insurance for expenses arising from abortion is not required, except where the life of the mother is endangered.

The amounts payable by the insurance provider can be limited only to the same extent as amounts payable for other conditions. No additional, increased, or larger deductible can be imposed.

In addition, employers must provide the same level of health benefits for spouses of male employees as they do for spouses of female employees.

Importantly, pregnancy-related benefits cannot be limited to married employees. In an all-female workforce or job classification, benefits must be provided for pregnancy-related conditions if benefits are provided for other medical conditions.

If an employer provides any benefits to workers on leave, the employer must provide the same benefits for those on leave for pregnancy-related conditions. For instance, if an employer provides 30 days leave with pay to other employees with temporary disabilities, it must provide that same benefit to pregnant employees.

In addition, employees with pregnancy-related disabilities must be treated the same as other temporarily disabled employees for accrual and crediting of seniority, vacation calculation, pay increases, and temporary disability benefits.

Tips for Employers

  • Prohibit pregnancy discrimination in your employee handbook. Train all managers and supervisors on the laws relating to pregnancy discrimination.
  • Ensure that all benefit plans provide equal treatment to pregnant employees as compared to other employees with temporary disabilities.
  • Avoid overly personal inquiries of the pregnant employee. For instance, comments about the difficulties in finding good childcare or the cost of childcare may be misinterpreted to mean that the employee should just stay home after having the baby.
  • Closely review any adverse decisions taken against a pregnant employee. Get a second opinion before taking action, preferably from labor and employment counsel.
  • Inform the pregnant employee of her leave rights.