EEOC Lawsuit Against FedEx

The Equal Employment Opportunity Commission (EEOC) has filed a lawsuit against FedEx alleging its policy requiring employees to be 100% healed in order to return to work violates the Americans with Disabilities Act (ADA). This lawsuit is a good reminder for employers regarding how to handle employees returning from medical leave in compliance with the law.

Understanding “100% Healed” Policies and ADA Compliance

The EEOC has long held that “100% healed” policies, which require employees to be fully recovered in order to return to work, will violate the ADA if the employee can perform the essential functions of their job with or without reasonable accommodation. Nevertheless, such policies continue to exist, as seen by this lawsuit.

The lawsuit involves a group of current and former Ramp Transport Drivers (RTDs) who worked in FedEx facilities across the country, including here in Nevada. Each of the RTDs, according to the lawsuit, had physical impairments that substantially limited a major life activity – lifting – but were otherwise qualified to perform the essential functions of their position with or without reasonable accommodation.

Per FedEx policy, RTDs with any medical restrictions are placed on a temporary restricted work assignment, where they are generally assigned light duty work, for up to 90 days. If the RTDs still have medical restrictions at the end of that 90-day period, FedEx places them on unpaid medical leave. These employees are not permitted to return to work until the medical restrictions are lifted. The EEOC alleges that while the RTDs request accommodations related to loading/unloading freight, FedEx did not engage in the interactive process.

Legal Precedents and Best Practices for Employers

This is not the first time the EEOC has challenged “100% healed” policies. In recent years, multiple employers have faced lawsuits for violating the ADA with similar policies. In 2018, a Nevada company agreed to pay $3.5 million to settle a lawsuit regarding its 100% healed policy. Earlier this year, a social services nonprofit in Washington settled a lawsuit for more than $100,000 when it refused to allow an employee to return to work after medical treatment due to restrictions.

Employers should review their written policies on leave and return-to-work to ensure they comply with discrimination law, particularly as it relates to disability discrimination. Employers should avoid restrictive policies that take a one-size-fits-all approach. Those policies often disproportionately impact protected groups and lead to legal liability.

A common argument for such restrictive policies is that medical restrictions could pose a safety risk to the employee and/or others. While the ADA does allow employers to consider whether the disability or restrictions cause a direct threat, it’s important to remember that the EEOC interprets direct threat as a significant risk of substantial harm that no reasonable accommodation could lessen or eliminate. Simply a concern that something might happen, wouldn’t be enough to meet that burden of proof.

Instead of focusing on employees being fully recovered, employers should focus on assessing whether employees can perform the essential functions of their job with or without reasonable accommodation. When an employee returns from medical leave, employers should engage in an interactive process to determine appropriate accommodations, such as modified work schedules, job restructuring, or assistive technology. Leave can be a reasonable accommodation in some cases.

However, requiring employees to take leave when other reasonable accommodations are available that would allow employees to return to work can be a risky endeavor, as demonstrated by the FedEx lawsuit.

Conclusion: Navigating ADA Compliance

In conclusion, employers must take proactive steps to ensure their policies comply with the ADA and support employees returning from medical leave. This lawsuit against FedEx underscores the importance of understanding disability rights and the legal ramifications of restrictive workplace policies.