(By Balaseshan) YRC Worldwide Inc. (NASDAQ:YRCW) said its subsidiary has agreed to pay $11 million to settle two class action lawsuits that alleged racial discrimination and harassment at a Chicago terminal.
The related lawsuits were brought by a small group of former Chicago Ridge, Illinois terminal employees and the Equal Employment Opportunity Commission against YRC Freight.
YRC Freight has voluntarily settled two class action lawsuits alleging racial discrimination and harassment at its Chicago Ridge, Illinois terminal, which closed in 2009.
YRC Freight's SVP, Human Resources Kelly Walls said there may be isolated instances of improper conduct in any workplace, but the allegations in these cases did not reflect the real working environment at Chicago Ridge.
The allegations date back to 2005, and were vigorously disputed by the company. The settlements, which require court approval, do not constitute an admission of liability or wrongdoing by the company or any of its employees.
Walls added the company had many factual and legal defenses to the claims, including evidence refuting the most scandalous allegations. Indeed, many former employees declined to join the EEOC's lawsuit. YRC Freight, however, amicably settled the cases to bring the lawsuits to an end, and to avoid further legal fees and costs.
YRCW is trading down 0.86% at $6.95 on Friday. The stock has been trading between $4.56 and $423 for the past 52 weeks.