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Suit targets Allstate's rehire moratorium.

Having been cleared in April of claims that a 4-year-old reorganization plan constituted age discrimination against long-time employee-agents, personal-lines insurer Allstate faces a new suit filed by the U.S. Equal Employment Opportunity Commission.

The complaint, filed Oct. 7 in U.S. District Court in St. Louis, charges Allstate with violations of the Age Discrimination in Employment Act of 1967 and the Fair Labor Standards Act of 1938 for instituting a moratorium on hiring back former employee-agents, more than 90% of whom reportedly were over the age of 40.

In April, Judge John P. Fullam in U.S. District Court for the Eastern District of Pennsylvania found that Allstate didn't practice age discrimination when it terminated roughly 6,400 agents in June 2000.

In a case filed by former agents and later joined by the EEOC, Fullam ruled that while Allstate didn't violate the ADEA, releases the company asked employees to sign between November 1999 and June 2000 may have violated the Older Workers' Benefit Protection Act.
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Title Annotation:Briefing
Author:Lehmann, R.J.
Publication:Best's Review
Article Type:Brief Article
Geographic Code:1USA
Date:Nov 1, 2004
Words:167
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