Civil Rights Act of 1991 (Made changes to Affect other acts)

Question 1

What was the purpose and what were 6 changes made by the Civil Rights Act of 1991?

Answer 1

Civil Rights Act of 1991 - Amended and updated other Acts

Purpose: On November 21, 1991, Congress enacted the Civil Rights Act of 1991. Congress acted to address a series of no fewer than seven decisions by the Supreme Court, some of which were regarded as changing the well-established landscape of discrimination law, and calling into doubt existing precedent. Among the decisions that Congress addressed were Price Waterhouse v. Hopkins (1989) and Wards Cove Packing Co. v. Antonio (1989). In Price Waterhouse, the Court provided that, even where a plaintiff demonstrates that an employer was motivated by discrimination, the employer can still escape liability by proving that it would have taken the same action based upon lawful motives. Wards Cove reinterpreted the disparate impact method of proof, and held that an employer can avoid liability merely by showing a business justification for the practice causing a disparate impact, and that the plaintiff has the burden of proving a lack of a business justification. Both cases were seen as having made it more difficult for plaintiffs to prevail in employment discrimination lawsuits.

The 1991 Act amended several of the statutes enforced by EEOC, both substantively and procedurally. Previously, jury trials were possible only in cases brought under the EPA or the ADEA.

Changes:

1. JURY TRIAL & COMPENSATORY & PUNATIVE DAMAGES: Under the provisions of the 1991 Act, parties could now obtain jury trials, and recover compensatory and punitive damages in Title VII and ADA lawsuits involving intentional discrimination.
2. STATUTORY CAPS ON SOME DAMAGES: The Act placed statutory caps on the amount of damages that could be awarded for future pecuniary losses, pain and suffering, and punitive damages, based on employer size. The maximum award of compensatory and punitive damages combined was set at $300,000 for the largest employers (more than 500 employees).
3. CODIFICATION OF DISPARATE IMPACT IN TITLE VII: In addition, the 1991 Act added a new subsection to Title VII, codifying the disparate impact theory of discrimination, essentially putting the law back as it had been prior to Wards Cove.
4. MOTIVATING FACTOR – PRICE WATERHOUSE ISSUE: And in response to Price-Waterhouse, the Act provided that where the plaintiff shows that discrimination was a motivating factor for an employment decision, the employer is liable for injunctive relief, attorney’s fees, and costs (but not individual monetary or affirmative relief) even though it proves it would have made the same decision in the absence of a discriminatory motive.
5. EMPLOYEES OF CONGRESS & HIGH-LEVEL POLITICAL APPOINTEES PROTECTED FROM DISCRIMINATION: The Act also provided employment discrimination protection to employees of Congress and some high-level political appointees.
6. AMERICAN EMPLOYERS ABROAD ARE COVERED UNDER TITLE VII & ADA - Title VII and ADA coverage was extended to include American and American-controlled employers operating abroad.

IDENTIFY who Applicable to:

Persons/Employers affected by these acts because it amended the following discrimination acts:

• Title VII of the Civil Rights Act of 1964 (referred to as “Title VII”);
• The Americans with Disabilities Act of 1990;
• Section 1981 of the Civil Rights Act of 1866 (referred to as “Section 1981”);
• The Attorney’s Fees Award Act of 1976; and
• The Age Discrimination in Employment Act of 1967 (ADEA).

Question 2

How did Civil Rights Act of 1991 change damages to Title VII?

Answer 2

Section 1981 had allowed for compensatory and punitive damages -But now Title VII claims could get them too with the following CAPS:

Compensatory and Punitive Damages (CAP APPLIES)

Compensatory and punitive damages may be awarded in cases involving intentional discrimination based on a person’s race, color, national origin, sex (including pregnancy, gender identity, and sexual orientation), religion, disability, or genetic information.

Compensatory damages pay victims for out-of-pocket expenses caused by the discrimination (such as costs associated with a job search or medical expenses) and compensate them for any emotional harm suffered (such as mental anguish, inconvenience, or loss of enjoyment of life).

Punitive damages may be awarded to punish an employer who has committed an especially malicious or reckless act of discrimination.

Limits on Compensatory and Punitive Damages (CAP LIMITS BELOW)

There are limits on the amount of compensatory and punitive damages a person can recover. These limits vary depending on the size of the employer:

For employers with 15-100 employees, the limit is $50,000.

For employers with 101-200 employees, the limit is $100,000.

For employers with 201-500 employees, the limit is $200,000.

For employers with more than 500 employees, the limit is $300,000.