Jury awards $125 million after Walmart fires worker with Down syndrome

The New York Times
July 18, 2021 at 10:59PM
A Walmart logo forms part of a sign outside a Walmart store, Tuesday, Sept. 3, 2019, in Walpole, Mass. Walmart is going back to its folksy hunting heritage and getting rid of anything that's not related to a hunting rifle after two mass shootings in its stores in one week left 24 people dead in August of 2019. (AP Photo/Steven Senne)
A U.S. District Court jury in Wisconsin has found that Walmart violated the Americans with Disabilities Act and awarded Marlo Spaeth $125 million in punitive damages and $150,000 in compensatory damages after she was fired at the Manitowoc, Wis., store. (Steven Senne, Associated Press/The Minnesota Star Tribune)

Marlo Spaeth started working as a sales associate at a Walmart in Manitowoc, Wis., in 1999, folding towels, cleaning aisles, processing returns and greeting customers, her lawyers said. Over the next 15 years, she received several pay raises and positive performance reviews.

But Spaeth's hours suddenly shifted in November 2014, when Walmart instituted a computerized scheduling system, which the company said was based on customer traffic and was designed to ensure that enough people were working when the store was busiest.

Spaeth was expected to work from 1 p.m. to 5:30 p.m., rather than her previous schedule of noon to 4 p.m., her lawyers said.

The change represented a significant hardship for ­Spaeth, who has Down syndrome and thrives on routine, her lawyers said. Spaeth repeatedly told a manager that she wanted her old schedule back, her lawyers said.

But the company refused to switch Spaeth back to her old schedule at the store, which was open 24 hours a day and had more than 300 employees, her lawyers said. Walmart then took disciplinary action against Spaeth twice for absenteeism and tardiness, her lawyers said.

On July 10, 2015, Walmart fired Spaeth for excessive absenteeism.

Spaeth and her mother and sister met with Walmart managers and asked that she be rehired and allowed to return to her old working hours, her lawyers said. But Walmart refused to rehire her, even though her termination letter said she could be hired again, her lawyers said.

On Thursday, a jury in U.S. District Court for the Eastern District of Wisconsin in Green Bay found that Walmart had violated the Americans with Disabilities Act, which bans discrimination based on an employee's disability, and awarded Spaeth $125 million in punitive damages and $150,000 in compensatory damages.

The jury, which deliberated for three hours after a four-day trial, found that Walmart had failed to provide Spaeth with a reasonable accommodation, even though she needed one because she has Down syndrome and it would not have posed a hardship to the company.

The jury also found that Walmart had fired Spaeth and then failed to rehire her because she has a disability.

Walmart said in a statement that the verdict would be reduced to $300,000, which is the maximum amount allowed under federal law for compensatory and punitive damages.

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about the writer

Michael Levenson

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