EEOC Appeal 2023003853

2023003853Eeoc

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U.S. EQUAL EMPLOYMENT OPPORTUNITY COMMISSION
Office of Federal Sector
P.O. Box 77960
Washington, DC 20013
Erline S.,1
Complainant,
v.
Douglas A. Collins,
Secretary,
Department of Veterans Affairs,
Agency.
Appeal No. 2023003853
Hearing No. 532-2017-00042X
Agency No. 200H-0539-2016101473
DECISION
Complainant filed an appeal with the Equal Employment Opportunity Commission
(EEOC or Commission) regarding a settlement agreement, which was the subject
of the Agency's final order dated April 12, 2022, adopting the post-hearing
decision of an Administrative Judge (AJ) finding discrimination in her complaint
of 	unlawful 	employment 	discrimination 	in 	violation 	of 	Section 	501 	of 	the
Rehabilitation Act of 1973 (Rehabilitation Act), as amended, 29 U.S.C. § 791 et
seq. See 29 C.F.R. § 1614.504(b). For the following reasons, we REMAND this
matter to the Agency for further processing.
1 	This 	case 	has 	been 	randomly 	assigned 	a 	pseudonym 	which 	will 	replace
Complainant’s 	name 	when 	the 	decision 	is 	published 	to 	non-parties 	and 	the
Commission’s website.
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BACKGROUND
During the relevant time, Complainant worked for the Agency as a Nurse at the
Agency’s Cincinnati Medical Center in Cincinnati, Ohio.
On March 1, 2016, Complainant filed a formal complaint alleging that the Agency
subjected her to discrimination based on disability and denied her a reasonable
accommodation. The Agency investigated the formal complaint and Complainant
requested a hearing. Subsequently, an EEOC AJ held a hearing on Complainant’s
complaint. The AJ found in Complainant’s favor and issued damages and other
remedial relief. Thereafter, the Agency issued a final order adopting the AJ’s
finding in its entirety.
Complainant filed the instant appeal.
CONTENTIONS ON APPEAL
On appeal, Complainant, through counsel, requests “the terms of the settlement
agreement be specifically implemented or, alternatively, that the complaint be
reinstated for further processing from the point processing ceased.” (emphasis
added). Complainant purports that all requisite paperwork for the issuance of
backpay was submitted by October 22, 2022, but due to significant backlog of
settlement cases, the Agency has delayed in processing the settlement, which
addressed the awarded backpay. Additionally, Complainant contends Complainant
suffered an “additional tax consequence” when the Agency erred in categorizing a
1099 for non-pecuniary damages.
The Agency did not submit a brief on appeal.
ANALYSIS
The critical issue is whether the underlying matters identified above have been
settled. Despite references to a settlement agreement purportedly executed on or
about October 2022, there is no record of the signed agreement. 	Complainant
contends a settlement agreement was reached after issuance of the Agency’s final
order, addressing the calculation and issuance of backpay. However, the record is
not clear whether there even exists a signed final agreement or instead, there were
negotiations in an effort to execute the AJ’s final order. The difficulties emerging
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from this appeal are for several reasons: the Agency did not submit a brief on
appeal; the record contains little following the issuance of the final order; and
Complainant’s attorney argues that a settlement agreement is in force, and that it
should be implemented, and additional damages awarded from the delay.
Given the circumstances of this particular case, we are clearly unable to determine
whether Complainant and the Agency entered into a binding, signed settlement
agreement following the Agency’s April 12, 2022, final order. In the alternative, if
Complainant is seeking to enforce the Agency’s final order, awarding backpay, the
record 	is 	again 	unclear 	whether 	backpay 	has 	been 	issued 	to 	Complainant.2
Therefore, the matter is REMANDED to the Agency for further processing in
accordance with the ORDER below.
ORDER (E0224)
The Agency is ORDERED to conduct a supplemental investigation, which shall
include the following actions:
1. The Agency shall determine whether a settlement agreement, executed on
or about October 2022, actually exists, and shall supplement the record with
a copy of such a signed settlement agreement if it is in existence.
2. If an agreement exists, the Agency shall conduct an inquiry into its
validity and execution of agreed terms. As part of this inquiry, the Agency
shall provide Complainant with the opportunity to address any breach
claims, as well as present any arguments relating to the issue of backpay and
whether the agreement addressed tax implications from the payment of
2 EEOC Regulations 29 C.F.R. § 1614.502(a) and § 1614.503 provide that relief
ordered in a final EEOC decision is “mandatory and binding” on the agency. The
regulations also provide that, on behalf of the Commission, the Office of Federal
Sector (OFS) “shall take all necessary action to ascertain whether the agency is
implementing the decision of the Commission.” Finally, the regulations provide
that failure to implement EEOC orders will subject the agency to a variety of
enforcement actions, including the issuance of a notice to show cause to the head
of 	the 	agency, 	a 	referral 	to 	the 	Office 	of 	Special 	Counsel, 	and/or 	judicial
enforcement.
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backpay. Said inquiry shall be completed within thirty (30) calendar days
of the date this decision becomes final.
3. The Agency shall issue a new final decision, with appeal rights to this
Commission, addressing the validity of the purported agreement and any
breaches of said agreement, based on the inquiry referenced above. If the
Agency 	finds 	that 	no 	valid 	settlement 	agreement 	exists, 	or 	finds 	the
agreement was breached, to the extent it has not done so, the Agency shall
immediately resume processing any unpaid backpay per the final order
and 	submit 	a 	report 	to 	this 	Commission, 	with 	Complainant 	copied,
addressing any outstanding issues or satisfaction of the final order. The
Agency shall notify Complainant of the appropriate rights 	within one
hundred fifty (150) calendar days of the date this decision was issued,
unless the matter is otherwise resolved prior to that time.
IMPLEMENTATION OF THE COMMISSION’S DECISION (K0719)
Under 	29 	C.F.R. 	§ 	1614.405(c) 	and 	§ 	1614.502, 	compliance 	with 	the
Commission’s corrective action is mandatory. 	Within seven (7) calendar days of
the completion of each ordered corrective action, the Agency shall submit via the
Federal Sector EEO Portal (FedSEP) supporting documents in the digital format
required by the Commission, referencing the compliance docket number under
which compliance was being monitored. 	Once all compliance is complete, the
Agency shall submit via FedSEP a final compliance report in the digital format
required by the Commission. 	See 29 C.F.R. § 1614.403(g). 	The Agency’s final
report must contain supporting documentation when previously not uploaded, and
the Agency must send a copy of all submissions to the Complainant and his/her
representative.
If the Agency does not comply with the Commission’s order, the Complainant may
petition the Commission for enforcement of the order. 	29 C.F.R. § 1614.503(a).
The Complainant also has the right to file a civil action to enforce compliance with
the Commission’s order prior to or following 	an 	administrative petition 	for
enforcement. See 29 C.F.R. §§ 1614.407, 1614.408, and 29 C.F.R. § 1614.503(g).
Alternatively, the Complainant has the right to file a civil action on the underlying
complaint in accordance with the paragraph below entitled “Right to File a Civil
Action.” 29 C.F.R. §§ 1614.407 and 1614.408. A civil action for enforcement or a
civil action on the underlying complaint is subject to the deadline stated in 42
U.S.C. 2000e-16(c) (1994 & Supp. IV 1999). 	If the Complainant files a civil
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action, the administrative processing of the complaint, including any petition
for enforcement, will be terminated. See 29 C.F.R. § 1614.409.
Failure by an agency to either file a compliance report or implement any of the
orders set forth in this decision, without good cause shown, may result in the
referral of this matter to the Office of Special Counsel pursuant to 29 C.F.R. §
1614.503(f) for enforcement by that agency.
STATEMENT OF RIGHTS - ON APPEAL
RECONSIDERATION (M1125)
The Commission may, in its discretion, reconsider this appellate decision if
Complainant or the Agency submits a written request that contains arguments or
evidence that tend to establish that:
1. 	The appellate decision involved a clearly erroneous interpretation of
material fact or law; or
2. 	The appellate decision will have a substantial impact on the policies,
practices, or operations of the agency.
Requests for reconsideration must be filed with EEOC’s Office of Federal Sector
(OFS) within thirty (30) calendar days of receipt of this decision. 	If the party
requesting reconsideration elects to file a statement or brief in support of the
request, that statement or brief must be filed together with the request for
reconsideration. 	A party shall have twenty (20) calendar days from receipt of
another party’s request for reconsideration within which to submit a brief or
statement 	in 	opposition. 	See 	29 	C.F.R. 	§ 	1614.405; 	Equal 	Employment
Opportunity Management Directive for 29 C.F.R. Part 1614 (EEO MD-110), at
Chap. 9 § VII.B (Aug. 5, 2015).
Complainant should submit their request for reconsideration, and any statement or
brief in support of their request, via the EEOC Public Portal, which can be found at
https://publicportal.eeoc.gov/Portal/Login.aspx. 	Alternatively, Complainant can
submit their request and arguments to the Director, Office of Federal Sector, Equal
Employment Opportunity Commission, via regular mail addressed to P.O. Box
77960, Washington, DC 20013, or by certified mail addressed to 131 M Street,
NE, Washington, DC 20507.
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In the absence of a legible postmark, a complainant’s request to reconsider shall be
deemed timely filed if OFS receives it by mail within five days of the expiration of
the applicable filing period. See 29 C.F.R. § 1614.604.
An agency’s request for reconsideration must be submitted in digital format via the
EEOC’s Federal Sector EEO Portal (FedSEP). 	See 29 C.F.R. § 1614.403(g).
Either party’s request and/or statement or brief in opposition must also include
proof of service on the other party, unless Complainant files their request via the
EEOC Public Portal, in which case no proof of service is required.
Failure to file within the 30-day time period will result in dismissal of the party’s
request 	for 	reconsideration 	as 	untimely, 	unless 	extenuating 	circumstances
prevented the timely filing of the request. 	Any supporting documentation must
be submitted together with the request for reconsideration. 	The Commission
will consider requests for reconsideration filed after the deadline only in very
limited circumstances. See 29 C.F.R. § 1614.604(f).
COMPLAINANT’S RIGHT TO FILE A CIVIL ACTION (R0124)
This is a decision requiring the Agency to continue its administrative processing of
your complaint. 	However, if you wish to file a civil action, you have the right to
file such action in an appropriate United States District Court within ninety (90)
calendar days from the date that you receive this decision. In the alternative, you
may file a civil action after one hundred and eighty (180) calendar days of the
date you filed your complaint with the Agency, or filed your appeal with the
Commission. 	If you file a civil action, you must name as the defendant in the
complaint the person who is the official Agency head or department head,
identifying that person by their full name and official title. 	Failure to do so may
result in the dismissal of your case in court. “Agency” or “department” means the
national organization, and not the local office, facility or department in which you
work. Filing a civil action will terminate the administrative processing of your
complaint.
RIGHT TO REQUEST COUNSEL (Z0815)
If you want to file a civil action but cannot pay the fees, costs, or security to do so,
you may request permission from the court to proceed with the civil action without
paying these fees or costs. Similarly, if you cannot afford an attorney to represent
you in the civil action, you may request the court to appoint an attorney for you.
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You must submit the requests for waiver of court costs or appointment of an
attorney directly to the court, not the Commission. The court has the sole
discretion to grant or deny these types of requests. Such requests do not alter the
time limits for filing a civil action (please read the paragraph titled Complainant’s
Right to File a Civil Action for the specific time limits).
FOR THE COMMISSION:
T. Gimbrere __________ 	Gul Chaudhry’s signature
T. Gimbrere, Acting Director
Office of Federal Sector
September 23, 2026
Date

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