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Justice Department settles retaliation claims against State Farm in Texas

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Tuesday, November 26, 2024

Justice Department settles retaliation claims against State Farm in Texas

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Lisa O. Monaco Deputy Attorney General | Official Website

The Justice Department has reached a settlement with State Farm Mutual Automobile Insurance Company concerning allegations of retaliation at one of its corporate offices in Richardson, Texas. The department found that State Farm violated the Immigration and Nationality Act (INA) by terminating an employee who raised concerns about citizenship status discrimination.

Assistant Attorney General Kristen Clarke from the Justice Department’s Civil Rights Division stated, “Workers have the right to oppose perceived discrimination, without retaliation.” She emphasized the department's commitment to protecting workers' rights to report discrimination without facing unlawful consequences.

The investigation conducted by the Civil Rights Division’s Immigrant and Employee Rights Section (IER) revealed that State Farm terminated a worker after she opposed the rejection of her valid work documentation. The documentation included a Permanent Resident Card and a notice from the Department of Homeland Security extending its validity. Following her complaint about discrimination, she was placed on a "do not hire" list.

As part of the settlement agreement, State Farm will pay civil penalties to the United States and over $30,000 in backpay to the affected employee. Additionally, State Farm is required to train its staff on INA’s anti-discrimination policies, update its employment practices, and comply with monitoring and reporting requirements set by the department.

IER enforces antidiscrimination provisions under INA which prohibit discriminatory practices based on citizenship status or national origin during hiring processes or employment eligibility verification. For more information on preventing unlawful discrimination or filing complaints related to such issues, resources are available through IER's website and hotline services.

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