Eli Lilly has settled a significant lawsuit related to age discrimination allegations. The company will pay $2.4 million as part of a settlement agreement with the US Equal Employment Opportunity Commission (EEOC), which filed the lawsuit in September.
The EEOC claimed that Eli Lilly had altered its hiring preferences in 2017 to prioritize the recruitment of millennials, resulting in intentional under-hiring of older candidates for sales representative positions.
The settlement includes monetary relief for the affected individuals and prohibits Eli Lilly from rejecting applicants based on age for its primary care sales representative workforce. Such actions would be in violation of the Age Discrimination in Employment Act.
The consent decree, effective for 30 months, also requires Eli Lilly to update its hiring practices and provide annual equal employment opportunity training to managers and human resources personnel involved in the hiring process. It’s important to note that the settlement does not imply admission of liability by Eli Lilly regarding the EEOC’s allegations.
The company has faced other age discrimination claims, including a proposed class-action lawsuit in 2021, where it was accused of systematically excluding older candidates for sales positions in favor of younger individuals.
The plaintiffs argued that the company intentionally prioritized hiring interns for sales roles until there were no more interns available. Eli Lilly previously denied these allegations and stated its commitment to non-discriminatory practices, emphasizing that it does not discriminate based on various legally protected characteristics.
In an emailed statement, an Eli Lilly spokesperson noted the company is “working collaboratively with the U.S. Equal Employment Opportunity Commission (EEOC) to resolve this dispute.”
“While we continue to deny the allegations in the complaint, we look forward to resolving this matter and will continue to foster and promote a culture of diversity and respect at Lilly.”
Lilly has been confronted with allegations of age discrimination on various occasions in recent years. In 2021, two individuals who applied for jobs filed a collective lawsuit asserting that the company consistently favored younger employees over older candidates for sales positions. The plaintiffs contended that Lilly prioritized hiring interns for sales representative roles until no interns were remaining.
