Bill Introduced to Provide Compensatory and Punitive Damages in Employment Discrimination Cases

A bill introduced yesterday in the Wisconsin Senate — Senate Bill 20 — would authorize a court to order an employer to pay compensatory or punitive damages if they are found guilty of employment discrimination.   Senate Bill 20 is sponsored by Senator Dave Hansen (D-Green Bay).

Under current law, if the Wisconsin Department of Workforce Development (DWD) finds that an employer has refused to hire, terminated, or discriminated against an individual based on that person’s age, race, creed, color, disability, marital status, sex, or other reasons specified in the law, DWD may reinstate the employee and file a complaint against the employer. The employee can receive backpay up to two years and receive costs and attorney fees associated with the lawsuit. Currently, an employee is not allowed to seek compensatory or punitive damages.

Senate Bill 20, if enacted, would change current law to allow an employee to seek compensatory and punitive damages. In addition, if an employer is found guilty of discrimination, the bill forces the employer to pay an additional 10 percent “surcharge” that would be deposited into the state’s general fund for DWD to use to administer the state’s fair employment law.

Hamilton Consulting Group will provide updates of SB 20 as the legislative session proceeds.