California employment case index

The California Supreme Court holds that a coworker's single use of the N-word can be actionable harassment under the FEHA if sufficiently severe under the totality of the circumstances, and that withdrawing an employee's means of reporting harassment can be an adverse action for retaliation; summary judgment reversed.

The Fourth District affirmed a whistleblower-retaliation verdict for an Office on Aging director fired after warning that a County reorganization was unlawful — holding the County waived its exhaustion defense by first raising it after trial — while reversing her sexual-harassment claim under the pre-§ 12923 "severe or pervasive" standard and affirming a remittitur-backed new trial order on damages.

The Fourth District held that while the timing of an adverse action can carry a FEHA retaliation plaintiff past the prima facie stage — even on an uncorroborated declaration — temporal proximity does not, standing alone, create a triable issue of pretext once the employer produces evidence of a legitimate reason, and it expressly rejected Gemini Aluminum's suggestion that employers must also prove their termination procedures were objectively fair.

On retransfer from the Supreme Court in light of Yanowitz, the First District reversed a $75,000 retaliation verdict, holding that file memoranda, a letter of instruction, an investigation, an unimplemented 30-day suspension, and a lateral transfer to a comparable position did not — separately or collectively — materially affect the terms, conditions, or privileges of employment, and that the surgeon's beliefs about her employer's motives were not substantial evidence of pretext.

Affirming a remitted $500,000 FEHA retaliation judgment for a Nigerian-American harbor-department engineer, the Second District held that pretext may be shown by direct evidence of decisionmakers' retaliatory remarks and by comparative evidence of disparate treatment — not only by a head-on attack on the employer's stated performance reasons — and that lay testimony alone can support a substantial emotional-distress award.