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HARASSMENT: Caesars Palace settles lawsuit

Agreement to pay $850,000 ends EEOC case brought on behalf of kitchen workers

Caesars Palace has agreed to pay $850,000 to settle a sexual harassment and retaliation lawsuit brought by the U.S. Equal Employment Opportunity Commission on behalf of eight employees, the federal agency announced Monday.

The lawsuit alleged that male supervisors at the Strip resort forced seven female kitchen workers to have sex on the threat of being fired.


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  • As part of the settlement, Caesars Palace did not accept any liability and denied any wrongdoing.

    "All of Harrah's entertainment affiliated properties, including Caesars Palace, have comprehensive all-employee, anti-harassment programs, supported by strict enforcement," said Alberto Lopez, spokesman for Harrah's Entertainment. "While we deny wrongdoing, it is in the best interest of all parties to put this matter to rest and move on."

    Lopez said the supervisors alleged to be involved haven't worked for Caesars Palace for four years and are not employed by Harrah's Entertainment.

    The money collected will go directly to the women and one male supervisor who tried to assist some of the women. The agency alleged the company retaliated against him for that.

    The lawsuit, filed in March 2005, was filed after the EEOC failed to reach a voluntary settlement with Caesars Entertainment, Caesars Palace's parent company at the time.

    Six of the women, who were aged 19 to in to their 40s, only spoke Spanish. Four of the women still work at Caesars, according to the EEOC.

    "In a case like this where many of the workers were monolingual Spanish speakers, victims of sexual harassment often feel further isolated, marginalized and unable to vindicate their rights," Anna Park, an attorney for the Equal Employment Opportunity Commission's Los Angeles District, said.

    Under the agreement, Caesars Palace will provide harassment training to all employees, provide semiannual reports to the EEOC on its employment practices for three years and revise its employment policies and procedures to conform to federal law.

    Sexual harassment and retaliation violate Title VII of the Civil Rights Act of 1964.

    The EEOC claimed the unlawful behavior dated back to January 2000 and included sex in "makeshift sex rooms."

    "It was a room in the back of the kitchen. Everyone called it the sex room," Park told The Associated Press. "When they took you back there, they knew that's what that was for. That shouldn't exist in any workplace.

    "It was a dirty little secret that was there for a long time," she said.

    The agency also charged that management failed to address and correct the behavior.

    The women, who mostly cleaned silverware, complained as early as 2001 to a human resources manager, but the manager did not investigate the allegations thoroughly because she had a relationship with one of the men involved in the abuse, said Federico Sayre, the lawyer for the four women who suffered the worst abuse.

    "The HR woman would use the 'b' word in reference to my gals when they would complain," Sayre said. "She just didn't believe what these ladies were complaining about. She refused to investigate or do anything about it."

    Sayre said the human resources manager is still employed by Harrah's.

    The lawsuit was brought by the EEOC's Los Angeles District Office. That office opened a satellite in Las Vegas last summer to help deal with the amount of cases in the area.

    Ten of the district office's 34 open cases are in Las Vegas, according to Park.

    Nearly 10 lawsuits have been filed in Las Vegas during each of the past four years, about half being sexual harassment cases.

    She said the majority deal with businesses outside the gaming industry, but did not have an exact number.

    The Caesars Palace lawsuit was filed before Harrah's Entertainment's acquisition of the Strip property on June 13, 2005, as part of the $9.4 billion buyout of Caesars Entertainment.

    The Associated Press contributed to this report.

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    Report abuse

    Sick Women wrote on August 26, 2007 10:54 AM: This had the special ingredients for MONEY: sympathy-grabbing claimant + Deep Pocket. BOOM! Ching Ching$$$. The women here are not victims at all, and
    it is Alarming that many don't see it
    (or don't want to), but literally "JUMP" TO ASSUME THEY ARE VICTIMS. Ever hear of "runaway Jury". No, I am not associated with Ceasar's, nor any manager, etc. Just a guy tired of seeing this type of Extortion and the rampant Victim Mentality out there. Ridiculous. I cannot believe the Outrageous comment in support of these claimants, the EEOC and the extortion! Outrageous!


    Report abuse

    Terrie wrote on August 23, 2007 06:38 PM: It is obvious some of the outrageous comments must be from either the fired managers or someone who was caught in a similar situation. JL is right EEOC does not take a case unless there is overwhelming & convincing evidence. Their case loads are too heavy to deal with frivilous complaints.


    Report abuse

    Terrie wrote on August 23, 2007 06:35 PM: It's too bad these ladies didn't get more money. All I can say if anyone is experiencing any type of behavior like this don't keep quiet. Tell someone what is going on until someone listens.


    Report abuse

    Jim wrote on August 23, 2007 09:54 AM: Big Company = Deep Pocket. It can get nailed in an entitlement society full of victims.

    I wish for a moment the EEOC wanna-be lawyers could be a C.E.O. of a major company, just for a moment. Karma oh Karma is going to be real painful here.


    Report abuse

    maria wrote on August 23, 2007 12:21 AM: It is not too late for these bad women to publically Disclaim interest in the DIRTY MONEY and admit this was concocted by others, such as the EEOC. Save your SOUL!! If you take the dirty money, you will be cursed and haunted the rest of your lives tenfold.


    Report abuse

    International Love wrote on August 22, 2007 07:56 PM: These "clever" women did not know how to speak English, but sure knew how to spread 'em! What a display of the "international" symbloy of love. They were cleaning and polishing much more than silverware! Ceasar was even unknowingly paying his people while they were having Sex. Sadly, the lawsuit stopped the Love! The sex room should still be there! It was a great perk for the employees! It made work more fun and provided a social outlet! We all know how cool it is to flirt on the job. I say Ceasar's employeed Demand to have that room back! To those reading this post, including the cute JL, you have probably had sex or flirted with a co-worker on the job! If not, you were just without a cool supervisor or a sex room! Lastly, the EEOC did a fabulous job in "coaching" these devious flirts into victims to extort money and ruin it for others! Party poopers.


    Report abuse

    JL wrote on August 22, 2007 02:05 PM: I am not a woman who hates men. That's ludicrous and ignorant. Do you know that the EEOC refuses to pursue the vast majority of complaints filed? When the EEOC decides to handle a case itself, the evidence of guilt is overwhelming. Caesar's rolled over here, with absolutely no evidence of their gullt. Riight. Of course, it appears that you believe a woman is never capable of being sexually harrassed. You're the reason women never report being raped, either. While there are always going to be false reports, they are dwarfed by the cases that go unreported because women think they brought it on themselves instead of men who just can't keep it in their pants.
    Why do YOU hate women so much that you always believe women to be in the wrong? I hope you never have a daughter because she'll grow up to hate you for teaching her that she needs to suck it up and keep quiet.

    Finally, you think these women are going to build palaces on $60k (the most they'll take home after attorney's fees and costs). They won the lottery? Are you kidding? No, unfortunately, I see you're not. You're just another of the crazies who live in this city who have some screwed up mentalities with little education and a whole lot of ignorance.

    Get some education regarding sexual harassment and then respond intelligently.


    Report abuse

    Ceasar is the Victim wrote on August 22, 2007 01:40 PM: JL is another sick woman (or old girl) who hates men; why, we will never know. This is yet another story about Women who WILLINGLY HAVE SEX, which they probably enjoyed more than the man, yet feign "victim for profit"! How cute. The vehicle? EEOC and threat of jury might not distinquish a apple (frivolous lawsuit) from an orange (honest claim) and allow the feigned victims to hit the lottery. How wrong. These maids will now buy their own Palace! Very wrong indeed.


    Report abuse

    Poor Ceasar!! wrote on August 22, 2007 12:40 PM: JL, accept reality. Everyday, I read and see (on tv) another story about men tormented by the "victim" game played by women for no good reason. Men seem to be the Only gender that receive the nasty, "popular" labels (predator, stalker, creep etc.). Where did all that come from? The Feminist movement?? Many women are great, take responsibility for their actions, and would Not have done this to Ceasers. Read the other comments about "extortion", because that is exactly what this is. But there are some sick ones, like you, who seem to have a passion for jumping on any opportunity to "nail a man" to the wall to feel empowered, rather than support and respect men. How sick and cruel. You really do not belong in coed society. Divorced? Abused by father? What happened to you?


    Report abuse

    JL wrote on August 22, 2007 10:42 AM: OK. This last comment(sick women) is obviously written by a man who has gotten dumped many, many times. You are one demented man. Stop with the scapegoating. You're responsible for getting dumped because you're obviously mentally defective.


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