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Pittsburgh-area company hit with $79K age discrimination verdict

PENNSYLVANIA RECORD

Monday, December 23, 2024

Pittsburgh-area company hit with $79K age discrimination verdict

Federal Court
Jnicholasranjan

Ranjan | N/A

PITTSBURGH - A Pennsylvania jury has ruled for a man who sued his former employer for age discrimination and whose case was bolstered by comments made by the company's president.

Judgment was entered for William Pepke in his case against custom cabinet company Manor House Kitchens on Oct. 10 following a jury's determination he was discriminated against because of his age.

Pepke, who was 60 years old when he was laid off, won $79,148.50, which includes $30,000 in compensatory damages and $11,500 in liquidated damages under the Age Discrimination in Employment Act. The rest is for front and back pay.

The verdict followed Manor House's unsuccessful attempt to avoid trial. Judge J. Nicholas Ranjan rejected the company's motion for summary judgment in August, partly thanks to statements made by Manor House president Jeffrey Backus when he laid Pepke off in August 2023.

Backus allegedly said he was going to keep the "younger guys working" when he laid off Pepke, who was 60 years old at the time. Backus allegedly added "the younger employees live pay-to-pay and they are the future of the company."

"A reasonable jury could conclude from this record that these remarks by the decisionmaker at a termination meeting are direct evidence of age discrimination and that age discrimination was the but-for cause of Mr. Pepke's layoff," Ranjan wrote.

Pepke was the lead installer in Manor House's granite installation department but was laid off on Aug. 7, 2023. He sued Manor House under the Age Discrimination in Employment Act and the Pennsylvania Human Relations Act.

Manor House defended its actions by pointing to a decrease in revenue from granite installations, a decrease in overall sales, lighter work for granite installation and Pepke's stats as the highest-paid employee in the granite installation department.

It laid off eight other employees in 2023 who ranged in age from 32 to 62. It even brought back one of those laid off who is older than Pepke in 2024.

Pepke says he was asked when he was retiring a month before he was laid off during an annual performance review.

Earlier in 2023, Pepke turned 60 years old. Backus was allegedly "very boisterous" in announcing the birthday in the Manor House shop, adding, "Oh, Bill Pepke is 60 years old. He's got seven more years until Social Security. He's going to be here seven more years."

Manor House said there were several economic factors for Pepke's termination and that age-related statements when combined with statements about cost are not actionable.

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