COLUMBUS — Diesel engine manufacturing company Cummins must pay more than $77,000 to settle a discrimination lawsuit, after a former female employee at the company was paid less than her male counterpart.
The U.S. Equal Employment Opportunity Commission charged that the woman was paid less than the man, even though they performed the same job duties. Cummins must pay $77,500 for back pay, liquidated, compensatory and punitive damages.
When she was still at the company, Cummins conducted a salary review to determine if it was appropriately compensating her, at her request.
The review found that she was paid less than her male counterpart, but Cummins did not change her salary. When she resigned almost a year later, Cummins had not increased her salary to match her male co-worker.
As part of the settlement, Cummins will also have to train its employees on the Equal Pay Act and Title VII of the Civil Rights Act of 1964, both of which prohibit wage discrimination based on sex.
“Employers should provide men and women in the same workplace with equal pay for equal work,” said Faye Williams, regional attorney for the EEOC’s Memphis District Office. “Not only is it fair, it’s the law. As the fight against unequal pay in the workplace continues, the Commission remains committed to challenging pay disparity until we realize the goal of wage equality.”
Cummins must also report complaints of pay discrimination to the EEOC. The company denied any liability or wrongdoing in the suit.
A Cummins spokesperson provided the following response to the lawsuit:
Cummins does not disclose information concerning individual employees’ pay or personnel records; however, there were legitimate and non-discriminatory reasons for the pay differences at issue in this case. Notably, the EEOC agreed to settle this matter without any admission of liability from Cummins. Cummins has been and remains committed to diversity and inclusion, which are central to our core values and how we operate our global business.