March 25, 2003

 

Hon. Cari M. Dominguez

Chair

U.S. Equal Employment Opportunity Commission

1801 L Street, NW

Washington, DC 20507

 

Hon. Paul Steven Miller

Commissioner

U.S. Equal Employment Opportunity Commission

1801 L Street, NW

Washington, DC 20507

 

Hon. Leslie E. Silverman

Commissioner

U.S. Equal Employment Opportunity Commission

1801 L Street, NW

Washington, DC 20507

 

 

RE:     Proposal to improve the federal-sector EEO process -

7 steps for improvement

 

 

Dear Chair Dominguez, Commissioners Miller and Silverman:

 

As stakeholders in the federal-sector EEO process, we are mindful that the process is in need of improvement.  Improvement is necessary in order to achieve the important co-existing goals of:  1) adding (or restoring) credibility to the process;  2) making the process more timely; and  3) preserving the EEOC’s primary federal-sector role as the adjudicator of claims of discrimination.  To meet these goals, various changes will have to take place, including weeding out cases which fail to state a claim so that limited  resources can be expended on those cases that do.  In reviewing the basic construct of the federal-sector EEO process, we believe that the continuation of the two main prongs of the process – the report of investigation (ROI) and the hearing before an administrative judge – is essential to the maintenance of this process.  However, both of these “prongs” are in need of improvement or reform, along with other reforms of the process, to make the entire federal-sector EEO process more responsive to the needs of all parties, and more importantly, to enable the EEOC to fulfill its mission as the adjudicator of federal-sector claims of discrimination.

 

Of late, there has been much discussion of possible ways to reform or improve the federal-sector EEO process.  While no formal proposals have yet been issued, discussions have ranged from a complete overhaul of the system, on the one hand, to suggestions that only “tweak” the process, on the other.  Neither of these extremes serves the interests of all stakeholders.  Additionally, a major overhaul of the system would be time-consuming and likely leave many federal employees, and stakeholder groups, questioning whether the Equal Employment Opportunity Commission had lost its commitment to eradicate discrimination in federal employment.  Any change that leaves that kind of question in the minds of federal employees cannot be good for the federal sector as a whole, nor to the credibility of the EEOC.  It is critical that confidence in the federal-sector process be strengthened, and the legal and moral power of the EEOC, as the key component to the eradication of discrimination in the federal workforce, be enhanced and preserved.

 

With that in mind, we stakeholders propose the following changes to the federal-sector EEO process which can be accomplished quickly, with minimal disruption yet maximum effect to achieve the goals described above.  Each of these proposed changes can be adopted or implemented separate and apart from each other.  Yet, taken together, we believe they demonstrate the adage that “the whole is greater than the sum of the parts.”  In other words, each proposal taken separately would effect only limited change.  Taken together, however, we believe these proposals will effect major change in the processing of federal-sector EEO complaints so as to achieve the important co-existing goals mentioned earlier, to-wit:  1) adding (or restoring) credibility to the process;  2) making the process more timely; and  3) weeding out cases which fail to state a claim, while preserving the EEOC’s primary federal-sector role as the adjudicator of claims of discrimination. 

 

 

THE PROPOSALS:

 

1.         Alternative dispute resolution (including, but not necessarily limited to, mediation) should be mandatory at the EEOC hearing stage and for managers at the informal/formal administrative stages.

 

There is no dispute that the changes to Part 1614 brought by the 1999 revisions, requiring agencies to implement alternative dispute resolution (ADR) processes, are invaluable and result in the successful resolution of many complaints.  But more can, and must, be done.  Specifically, we propose that in addition to the current ADR processes during the counseling and/or investigation stage, the Commission should mandate alternative dispute resolution at the hearing stage.  In any given case, even though ADR might have been tried unsuccessfully at the counseling or investigation stage, there is reason to try ADR yet again once the case is at the Commission for hearing.  Specifically, by the time the case reaches the Commission for hearing, many more facts are generally known about the complaint than were known at the time ADR was first attempted at the agency level.  Additionally, at the agency level, the agency is typically "represented" by the very managers or supervisors against whom the complaint was lodged.  However, at the hearing stage, agencies are typically represented by counsel who were not involved in the facts which gave rise to the complaint, and who are knowledgeable of issues relating to burdens of proof and risks of litigation.  These changed circumstances at the hearing stage warrant another attempt at alternative dispute resolution.  Experience has shown that a large percentage of cases that undergo alternative dispute resolution, after a request for hearing has been submitted, settle.

 

It is important that the process be fluid as to when the parties would be required to participate in ADR at this stage.  In some cases, parties may benefit from ADR early in the hearing process, before much time and expense are invested in the discovery process, while in other cases ADR will have best chance at success if it follows discovery.  The timing of the ADR effort should be made on a case-by-case basis by the administrative judge in direct discussion with the parties.  Just as "cookie cutter" approaches to the litigation of all cases must be avoided, so must "cookie cutter" approaches to ADR.  Furthermore, agencies must be directed to have present at ADR sessions agency officials who have true settlement authority.

 

Parties in the EEO process are the aggrieved employee and the agency.  Management officials are just witnesses in a complaint.  Thus, the voluntariness part of ADR is fulfilled when an agency designs its own ADR Program and selects those instances in which ADR would not be appropriate or feasible.  For example, some agencies have limited ADR geographically (if extensive travel would be required), or by issue.  However, once an aggrieved employee has invoked mediation and the complaint meets the requirements sanctioned by the agency’s ADR program, it is inappropriate for the agency to refuse to participate in mediation, and ADR should be made mandatory at the counseling or investigation stage of the administrative process.  

 

2.         The EEOC should adopt a uniform standard for what complaints “state  a claim,” which standard is acceptable to all stakeholders, consistent with law.

 

A frequent complaint of the federal-sector EEO process is that complaints which are frivolous, or lack merit, clog the system.  We stakeholders do not favor the use of a priority case handling system analogous to the one used by the Commission in private-sector cases.  The role of the Commission in the federal sector is very different from the role the Commission plays in the private sector.  In the private sector, the Commission acts as the prosecutor.  Given limited resources, prosecutorial discretion is a well-recognized tool for picking or choosing those violations of law which are meritorious and have significant impact on the community as to warrant the use of government resources.  However, in the federal sector, the Commission does not play the role of prosecutor.  Rather, the Commission plays the role of adjudicator.  Therefore, the Commission's role is to determine whether or not discrimination has occurred and what the remedy for that discrimination shall be.

 

In the federal sector, the EEOC’s role is not to determine that some employees are entitled to have their discrimination remedied, while other employees shall suffer discrimination without adequate recourse, redress or remedy.  The use of a system in the federal sector similar to the priority charge handling process in the private sector would, of necessity, result in the Commission saying, for the first time, that some discrimination in the federal workplace must be tolerated.  As stakeholders, we find such result unacceptable.

 

Given the role of the Commission as adjudicator, yet recognizing the ever-increasing scarcity of resources, and further recognizing the validity of the view that the frivolous cases or those lacking in merit drain resources from meritorious claims, we stakeholders propose an improvement/reform of the system which balances these competing interests but preserves the Commission's fundamental role as the agency charged with responsibility for eradicating discrimination in federal-sector employment.  Specifically, we propose that the Commission adopt a uniform standard for what states a claim of employment discrimination.  Cases could be dismissed on this grounds at either the agency stage, before the complaint is investigated, or after a hearing request is submitted. 

 

At the agency level, if the complaint is dismissed for failure to state a claim, the complainant could request review by an administrative judge, rather than having the dismissal appealed directly to the Office of Federal Operations, as has been done in the past.  The dismissal would then be reviewed by an administrative judge.  The AJ should give the complainant notice as to what the standard for stating a claim is and give the opportunity to present evidence establishing a claim.  The agency would be given the opportunity to respond.  The judge would then issue an initial decision which is appealable like any other decision.  To the extent that the "failure to state a claim" issue was not raised by the agency prior to the submission of the hearing request, an agency, or administrative judge sua sponte, should be able to raise this issue, initiating the same type of procedures described immediately above.  In essence, this is similar to the MSPB's practice of determining whether it has jurisdiction over an appeal.  (Under MSPB practice, when the administrative judge, or agency, believes the Board does not have jurisdiction over an appeal, the judge should issue a show cause notice to the employee requiring the employee to make a non-frivolous allegation of Board jurisdiction). 

 

It is our proposal that in order for the complaint to state a claim the plaintiff must demonstrate “that he/she has suffered an actual injury which involves either a diminution in pay or benefits or some other materially adverse consequences effecting the terms, conditions, or privileges of employment or future employment such that a reasonable trier of fact could conclude that the employee has suffered objectively tangible harm.”  See e.g., Brown v. Brody, 199 F.3d 446, 457 (D.C. Cir. 1999).  The Commission’s own definition of “tangible harm,” found in the Enforcement Guidance: “Vicarious Employer Liability for Unlawful Harassment by Supervisors” (June 18, 1999) provides the roadmap for determining tangible harm that could apply to all forms of discrimination, not just sexual harassment.  In harassment cases where there is no tangible harm, the standard for what states a claim remains unchanged by this proposal: conduct must be "so objectively offensive as to alter the 'conditions' of the victim's employment."  “The conditions of employment are altered if the harassment culminated was sufficiently severe or pervasive to create a hostile work environment.”  See generally, Harris v. Forklift Systems, Inc. 510 U.S. 17, 114 S.Ct. 367 (1993); Oncale v. Sundowner Offshore Services, Inc., 118 S. Ct. 998, 1002 (1998).*  For cases of reprisal, a complaint states a claim where the complainant has engaged in protected activity, there is as adverse action (an action reasonably likely to deter employees from engaging in protected activity) and a causal connection between the two.  See e.g., Ray v. Henderson, 217 F.3d 1234 (9th Cir. 2000).

 

If such uniform standards were adopted, the cases which are frivolous or lacking in merit would easily and readily be dismissed from the system, leaving the Commission with more resources to allocate to those cases which do, in fact, state a claim of illegal employment discrimination.  Moreover, adopting the standard will eliminate the potential for disparate applications in determining which cases warrant the attention of EEOC resources, owing to individual judge’s or Field Office’s views on what cases are meritorious, as would occur if the priority case charge handling process is utilized.

 

We firmly believe that this approach, for determining which cases are frivolous or should not be in the EEO system, is a fairer, more objective system than other proposals which require EEOC administrative judges or other personnel to make decisions about the “merits” of cases based on incomplete information and in the absence of fact-finding hearings.

 

 

3.         Cases should be assigned to one of three “litigation tracks” depending upon the complexity and detail of the issues involved.

 

A current complaint of the hearing process is that the Commission all too often attempts a "cookie cutter" approach to cases which approach does not consider the actual needs of the parties with respect to discovery and other pre-hearing processes. This often leads parties to file procedural motions which are time intensive, costly, and can result in unnecessary adversarial relations.  On the receiving end, these motions require the judges' time and attention.  The EEO process can be improved without eliminating this most crucial, and often dispositive, fact-finding process.

 

We fully endorse the recommendation of the "tripartite" group -- agency representatives, complainants' representatives and administrative judges, -- that, once a hearing has been requested, cases be separated into three "litigation tracks."  These "litigation tracks" are not based on, or concerned with, the "merits" of the case.  Rather, they concern the complexity of the case and the length of time it is expected to be required to adequately adjudicate the claims involved.  The use of "litigation tracks" to determine the scheduling of cases is not a novel idea.  Most courts now utilize "litigation tracks" to determine the scheduling of cases.  The three litigation tracks proposed are fast track, standard track and complex track.

 

As envisioned, the "fast-track" (sometimes likened to small claims court) is for the relatively simple complaint, or cases where little to no additional discovery is required.  The standard tracks is for the typical case where the issues are limited and the parties' needs for discovery to supplement the record is average.  The complex track would be reserved for cases with multiple issues, such as multiple selections, amended complaints, and class litigation.

 

Is important to emphasize that for "litigation tracks" to be meaningful ways to manage litigation and meaningful predictors of cases scheduling, the "tracks" cannot be decided unilaterally by the administrative judge.  Rather, like in the courts, a brief "scheduling conference," which can be telephonic, must be held by the judge with the parties.  The judge first seeks the parties' agreement as to which track the case belongs.  If the parties are in agreement, the judge would normally approve the track and schedule chosen.  If the parties cannot agree, the judge may exercise his/her authority to decide upon the appropriate track.  A benefit of involving the parties in the track selection, and seeking their agreement, is that the parties will determine the track knowing what discovery must be done.  This should minimize the need for motions for extensions of time and motions to compel, which are so frequent and consume so much of an administrative judge's time and attention.  In other words, this "litigation tracks" system should help reduce the "motions practice" currently pressing the judges.

 

 

4.         Agency EEO directors must report directly to the agency head; To ensure compliance with this requirement, in its annual report to Congress, the EEOC should specifically identify which agencies are not in compliance with this requirement.

 

The Commission’s regulations specifically provide that

The EEO Director shall be under the immediate supervision of the agency head.”

 

  29 CFR 1614.102(b)(4). 

 

 

The MD-110 amplifies this requirement:

 

Each federal agency shall appoint a Director of Equal Employment Opportunity (EEO Director), who shall be under the immediate supervision of the agency head. 29 C.F.R. § 1614.102(b)(4).  The EEO Director shall be responsible for the implementation of a continuing affirmative employment program to promote equal employment opportunity and to identify and eliminate discriminatory practices and policies. The EEO Director cannot be placed under the supervision of the agency's Director of Personnel or other officials responsible for executing and advising on personnel actions.

 

MD-110, Chp 1.I.

 

The stakeholders believe that this is an important requirement because it sends a message to employees and managers about the importance of, and commitment to, the EEO program within each agency.  Moreover, the EEO Directors' direct access to agency heads is important because it allows the EEO Directors to report significant problems, including, but not limited to, managers' interference in, or lack of cooperation with, the EEO process, directly to the agency head.  It is recognized that the EEOC only has "moral" authority to enforce this provision.  However, in its annual reporting to the Congress, the EEOC should specifically identify those agencies that are not in compliance with this regulatory requirement.  The list of agencies not in compliance should also be posted on the EEOC’s web site.  The EEOC should notify all agencies that its annual report to the Congress will include a statement of whether or not the agencies are in compliance with EEOC's regulations, including section 1614.102(b)(4), and that this information will be posted to the web.

 

It should be noted that the direct-report requirement is already a part of EEOC's regulations.  However, a number of agencies are not in compliance.  This proposal is a means for seeking compliance.  This change or addition to the EEOC's annual report to the Congress will not impose on any agency any requirements with respect to the grade level or appointment authority of any EEO Director.

 

5.         Agency counsel must be prohibited from interfering with the eeo investigation, and the EEOC should adopt minimum standards for eeo investigations

 

One of the complaints about the current federal-sector EEO process is that the investigation of an agency by itself lacks credibility, akin to "the fox guarding the chicken coop."  However, all stakeholders recognize that the Report of Investigation is an invaluable tool in the ultimate settlement or litigation of cases.  The importance of the Report of Investigation cannot be overstated.  The issue is what can be improved to add credibility while not eliminating this vital tool and depriving complainants and agencies this valuable source of information.  Too often, EEOC investigations are not controlled by the investigator, but by agency managers or in-house counsel.  Specifically, in some agencies, managers or counsel inform the investigator who the relevant witnesses are and which witnesses may be contacted.  It is not infrequent for agency counsel to require that all questions posed by an investigator go through agency counsel, and concomitantly, all responses from witnesses to the investigator be “vetted” through agency counsel.  The effects of this interference is obvious.  This interference results is an investigation that is not designed to uncover facts in an unbiased manner, but rather facts that are shaded by the light most favorable to the agency.  Moreover it is often these same agency representatives or counsel, who are actively participating in developing the contours of the investigation, who will then be called upon to defend the agency at a hearing.  This conflict of interest is manifest.  It is this interference which, more than anything else, gives rise to the perception and reality that some EEO investigations lack credibility. 

 

29 C.F.R § 1614.108(b), of the Commissions’s regulations requires that "the agency shall develop an impartial and appropriate factual record upon which to make findings on the claims raised by the written complaint."  Further, the MD-110 provides that

 

VI.       Investigator Must Be Unbiased and Objective

In whatever the mix of fact-finding activity selected for a particular case, the investigator must be and must maintain the appearance of being unbiased, objective, and thorough. S/he must be neutral in his/her approach to factual development. The investigator is not an advocate for any of the parties or interests and should refrain from developing allegiances to them.

MD-110, Chapter 6.

 

These provisions cannot be realized if agency managers and/or counsel are permitted to determine the scope of the investigation notwithstanding the investigator's judgment.  The Commission's regulations and MD-110 should be changed to clearly proscribe agency actions which interfere with the independent judgment of the investigator.

 

Additionally, the scope and quality of investigations vary widely.  Inadequate investigations delay the process, take up administrative judges’ time to deal with motions for sanctions, and result in more costly litigation due to the increased need for discovery.  To ensure that investigations are as adequate as possible, the EEOC should adopt minimum standards for EEO investigations.  These standards should vary depending on the complaint.  For example, the requirements of a non-promotion claim, where there are multiple comparators in a competitive process, would be different than a claim of sexual harassment where improper touching was involved.  Adoption of minimum standards will also increase employee confidence in the agency-conducted investigation process.

 

 

6.         Agencies should be required to issue a “180-day letter”, informing the employees of their right to immediately request to hearing.

 

Another frequent complaint of the federal-sector EEO process is the length of time it takes to investigate the complaint.  While agencies are required to complete investigation promptly within 180 days of the filing of the complaint, this is often practiced in the breach.  Although employees are given the notice of their rights at the time they file a complaint, which notice informs them that they have a right to request an administrative hearing after 180 days, it appears that few employees understand that once an investigation has begun they have the right to request an EEOC hearing after 180 days have elapsed notwithstanding the status of the investigation.  In reality, complaints about delays in the investigation process are often the product of employees not exercising their rights to forego the remainder of the investigation process in favor of the hearing.  In other words, employees do not realize that they have some control over the length of time a formal complaint resides within the agency before coming to the Commission for adjudication.  There is a simple cure to this issue, which cure should significantly reduce complaints about delays in the investigation process.

 

The EEOC should require the issuance of a "180-day" letter.  Specifically, on the 181st day after the filing of a formal complaint, the agency should issue a letter to every complainant stating that because 180 days have elapsed since the filing of the complaint the employee has an election to make:  The employee can immediately, or any time thereafter but before the issuance of a Report of Investigation, request a hearing before the EEOC, or allow the investigation process to continue. 

 

There is a model for this procedure elsewhere in federal-sector employment disputes.  Specifically, when an employee files a complaint of reprisal for protected whistleblowing with the Office of Special Counsel, the OSC has 120 days to investigate the complaint before the employee may file an individual right of action (IRA) appeal to the Merit Systems Protection Board.  After the expiration of the 120-day period, the OSC issues a letter to the employee advising him/her that the employee may file with the MSPB or await further the OSC’s investigation.

 

If this procedure is adopted, the onus of continued delay shifts somewhat to the employees.  While this clearly does not excuse agency delay in the investigation process, it will make employees understand they that they are not held "hostage" to the agency’s untimely investigation process.  Moreover, when the hearing request is submitted and an administrative judge appointed, the administrative judge can issue appropriate orders to the agency requiring the prompt production of a Report of Investigation.

 

The stakeholders believe that proposals 5 and 6 above, when taken together, will enhance the credibility and timeliness of the administrative investigation process while preserving the objective of developing an impartial factual record deemed important by the EEOC and crucial to the fair adjudication of employee discrimination complaints.

 

7.         The EEOC must take steps to regain its prominence as the agency of the United States government responsible for ensuring compliance with anti-discrimination laws and to become a “change agent” for those agency cultures where discrimination is tolerated.

 

A finding of discrimination should bring adverse consequences to the discriminator.  Consistent with the spirit of the No Fear Act, which is designed to increase agency responsibility for acts of discrimination, we propose that EEOC compliance notices require agencies to provide two additional pieces of information:  1) What action was taken by the agency to assure that the workplace will be free from discrimination, including, in particular, whether any disciplinary action was taken against the discriminating official;  and 2) If the agency did not take disciplinary action against the discriminating official, why not?  These additions to the compliance requirement will serve to deter discrimination.  They will also force agencies to better confront the causes of discrimination within their cultures, hopefully resulting in workplaces where discrimination is reduced, if not eradicated.  Additionally, individuals who have been found to have engaged in acts of discrimination should be specifically named in the decision.  As of now, all personal information about the Complainant, including intimate details about emotional damages, is contained in the Commission’s decisions.  However, all identifying information about the discriminating supervisors is omitted.  Supervisors who discriminate against federal employees should not be shielded and protected by the Commission.  Additionally, the Commission should forward all findings of discrimination to the Office of Special Counsel (OSC) for that office’s consideration of appropriate action toward the discriminator, consistent with its own jurisdiction to remedy prohibited personnel practices.  Naming these individuals in the Commission’s decisions, and referral to the OSC, will act as a deterrent to future discrimination and will assist the Commission in pressing the message that discrimination will not be tolerated.

 

 

CONCLUSION:

 

The three goals we have identified are those which, if kept in mind while framing improvements, will preserve and enhance the integrity and credibility of the processing of EEO complaints, and perforce the credibility and prestige of the Commission.  We stakeholders are committed to working with the Commission to seek the improvement of the federal-sector EEO process.  We look forward to a discussion of these proposals and to working with the Chair, the Commissioners and the Commission staff to help make the federal-sector EEO process the best possible to eradicate discrimination from the federal workforce.

 

In order to discuss these proposals, we request a meeting with the Chair, and each of the Commissioners.  Our contact person for scheduling the meeting is Ms. Delia Johnson, Co-President,  Council of Federal EEO and Civil Rights Executives.  Ms. Johnson may be reached at: 202-619-5151.  We would appreciate scheduling this meeting as soon as possible.

 

Sincerely (on behalf of the following organizations that have authorized

 consent to this letter),

 

 

Andrea E. Brooks, National Officer, Director                            Leroy W. Warren, Jr.

Women’s and Fair Practices Departments                                             Chairman

American Federation of Government Employees, AFL-CIO                                                                  NAACP Federal Task Force

 

 

(The Following stakeholders, in alphabetical order):

 

American Federation of Government Employees

 

Blacks in Government, Region XI Council

 

California Employment Lawyers Association

 

Council of Federal EEO and Civil Rights Executives

 

Delany, Siegel, Zorn & Associates, Inc.

 

Florida Employment Lawyers Association

 

JDG Associates, Inc.

 

Kator, Parks & Weiser, PLLC

 

Kalijarvi, Chuzi & Newman

 

Law Office of Mary Dryovage

 

Law Office of Kitty Grubb

 

Metropolitan Washington Employment Lawyers Association

 

National Association for the Advancement of Colored People

 

NAACP, Federal Sector Task Force

 

National Congress of Vietnamese Americans

 

National Employment Lawyers Association

 

National Employment Lawyers Association, Federal Rights Committee

 

Passman & Kaplan, PC.

 

Workplace Fairness

 

 

 

 



*The definition of the standards for what states a claim in our proposal is admittedly general, and will need to be expanded upon in any final issuance.  However, the proposed standards are a framework for the final definitions.