A Michigan battery manufacturer will pay $95,000 to settle federal charges that it illegally fired an employee with an arm injury rather than allowing him to return to work with restrictions.
Navitas Systems LLC, based in Ann Arbor, agreed to the settlement and additional relief to resolve a disability discrimination lawsuit filed by the U.S. Equal Employment Opportunity Commission, the federal agency announced today.
The case centered on a company policy that required employees returning from medical leave to be completely free from work restrictions. An employee who suffered severe injuries to his left arm was medically cleared to return to work using his other arm, with his doctor temporarily restricting use of the injured limb.
The employee could have performed the essential functions of his job using only one arm, but Navitas applied its blanket policy and refused to let him return to work, then fired him, according to the EEOC.
Company eliminates problematic return-to-work policy
The alleged conduct violated the Americans with Disabilities Act, which prohibits employment discrimination based on disability. The EEOC filed suit in U.S. District Court for the Eastern District of Michigan after attempting to reach a settlement through its administrative process. The case is Case No. 2:24-cv-12478.
Under the three-year consent decree, Navitas will pay $95,000 in monetary damages to the employee and provide annual ADA training to all managers, supervisors and human resources personnel. The company must also submit annual reports to the EEOC regarding reasonable accommodation requests and employees returning to work after medical leave.
Navitas has already eliminated its “100% restriction free” policy, according to the settlement terms.
EEOC attorney warns against blanket policies
“Policies requiring employees to be 100% healthy or restriction-free to return to work following leave will likely run afoul of the ADA,” said Miles Uhlar, senior trial attorney for the EEOC’s Detroit Field Office. “Employers should develop and implement policies that require an interactive process and careful evaluation of whether an employee with physical restrictions can be accommodated without undue hardship to the employer.”
The EEOC’s Detroit Field Office is part of the Indianapolis District Office, which oversees Michigan, Indiana, Kentucky and parts of Ohio. The agency investigates and litigates against private sector employers for violations of federal employment discrimination laws.