Average Settlements in 2023 for Discrimination Are $40,000 !!!

Описание: The Informational Update/Educational Briefing meeting provided insights into the results of the 2023 EEOC audit, revealing that the average settlement for employment-related cases is around
$40,000, covering scenarios like wrongful termination and discrimination across various income levels. Key factors influencing settlement values were discussed, including the role of insurance companies, which often set reserves and address nuisance claims around $50,000. Misconceptions regarding case values were addressed, emphasizing that many clients overestimate their case worth, with most not reaching six figures. The meeting concluded with a call for realistic expectations regarding potential settlements, underscoring that significant cases often arise from lengthy disputes rather than direct damages alone.

⚖️ EEOC Audit Results (00:56 - 02:15)

EEOC conducted audit for 2023
Average settlement for employment cases with EEOC involvement: $40,000
Covers various types of cases: wrongful termination, gender discrimination, sexual harassment
Includes all income levels

⚖️ Case Valuation Factors (02:15 - 03:05)

Multiple factors influence settlement values beyond actual damages
Considerations: insurance, adjuster authority, time spent, business disruption

⚖️ Misconceptions About Case Values (03:05 - 04:38)

Many clients believe their cases are worth millions
Reality: most cases are not worth six figures
Actual suffering often doesn't match perceived monetary value

⚖️ Insurance Industry's Role (04:38 - 05:20)

Employment law business is self-regulated by insurance industry
Insurance companies set reserve amounts for settlements
Nuisance value (to make cases go away) is around $50,000

⚖️ EEOC Data and Insurance Alignment (05:20 - 06:30)

EEOC's 40,000 average aligns with insurance industry's 50,000 nuisance value
Unclear which influenced the other, but they coincide well

⚖️ Realistic Case Expectations (06:31 - 07:42)

Most cases are not worth a million dollars or even six figures
Six-figure cases often result from prolonged fights, not just damages
Importance of understanding realistic case values