Scripps Clinical Medical Group has agreed to pay more than $6.8 million to resolve allegations that it imposed a mandatory retirement age on physician employees, it was announced Tuesday.
The settlement agreement stems from age and disability discrimination allegations filed with the U.S. Equal Employment Opportunity Commission. According to the EEOC, a subsequent investigation concluded there was "reasonable cause to believe that Scripps Clinical Medical Group violated the Age Discrimination in Employment Act (ADEA) and the Americans with Disabilities Act (ADA)."
In an agreement reached without Scripps admitting liability, the medical group will provide $6,875,000 to those impacted by the retirement age policy. That policy has also been rescinded and Scripps employees will be informed that the company has no policy in which age plays a role in employment decisions such as termination, retirement, and terms and conditions of employment, according to the EEOC.
Scripps leadership will also be required to attend training regarding the ADEA and ADA, with the agreement's provisions also applying to any acquired or merged medical group, the EEOC said.
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"Older workers make crucial contributions to our nation's workplaces," said EEOC Chair Charlotte A. Burrows. "With demographics showing that many people are remaining in the workforce longer, it is critical for employers to understand the ADEA's protections for older workers."
