What Are Punitive Damages In Employment Discrimination Cases?

November 13th, 2007
What are punitve damages in the context of employment discrimination cases, our Connecticut employment discrimination and wrongful termination lawyers explain. Punitive damages are damages awarded in cases of malicious wrongdoing to punish or deter the wrongdoer or deter others from behaving similarly. In employment cases, punitive damages are designed to punish the employer and make it an example for others, where it can be shown that the employer intentionally discriminated with malice or reckless indifference.
The employer’s conduct need not be “egregious” to allow an award of punitive damages. It is not the seriousness of an employer’s conduct that governs whether punitive damages will be awarded, but its intentions: did the employer “discriminate in the face of a perceived risk that its actions will violate federal law.” Put simply: did the employer know that a particular action was discrimination that was against the law, and still decide to do it anyway?
Employers who adopt an anti-discrimination policy, effectively enforce the policy, and thoroughly document the policy’s strict enforcement may use the policy as a “good-faith” defense against punitive damage awards, as well as decrease the likelihood that discriminatory conduct will occur in the first place.
Punitive damages are only available against private employers. The combination of punitive and compensatory damages is capped in federal discrimination cases under Title VII according to the employer’s size. These caps may not apply, however, to cases brought under laws other than Title VII, including other federal and state laws.

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