57 | EEOC-INITIATED LITIGATION: 2026 EDITION ©2026 Seyfarth Shaw LLP reasonable accommodation. Rather than engaging in the interactive process, the company purportedly encouraged the employee to resign and terminated her employment in April 2021 in violation of the Americans with Disabilities Act. EEOC v. Walmart Inc., Case No. 4:25-cv-5484 (N.D. Cal.) The EEOC asserted violations of the Americans with Disabilities Act based on the employer’s treatment of a longtime associate who, after working successfully for nine years, took an approved leave of absence due to a disability. When she sought to return to work, the employee requested reinstatement to her prior position or reassignment to an available role as a reasonable accommodation. The EEOC alleges that the employer refused these requests and instead placed the employee on unpaid leave, despite her demonstrated ability to perform essential job functions during the company’s “Temporary Alternative Duty” program. The complaint asserts that Walmart had open positions for which the employee was qualified but failed to consider reassignment or engage in the interactive process required under the ADA. The EEOC contends that Walmart’s rigid leave policy, which capped leave at 90 days, operated as an inflexible barrier to accommodation and resulted in the employee losing income and employment opportunities. KEY SETTLEMENTS SECURED IN FY 2025 EEOC v. Boart Longyear The EEOC resolved a race discrimination matter against a global drilling services provider headquartered. During its investigation, the EEOC found reasonable cause to believe that a Black employee was subjected to racial harassment by supervisors and coworkers during his employment from November 2021 to October 2022. According to the EEOC, the harassment included repeated derogatory comments that conveyed the message that the employee “was not good enough,” creating a hostile work environment in violation of Title VII. The parties reached a pre-litigation settlement through the EEOC’s conciliation process. Under the agreement, the employer will pay $177,500 in monetary relief to the affected employee and implement injunctive measures. These include updating and redistributing its U.S. employee handbook, conducting additional anti-harassment training for all employees, managers, and HR personnel in Northern Nevada, posting notices of employee rights under federal law, tracking all racial harassment complaints, and reporting compliance efforts to the EEOC for two years.
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