The good news is that an effective communications strategy seems to have cleared the air and protected the familiar retail brand.
Walgreen struck the right chord in its post-settlement statement. “We are pleased to have reached a quick resolution with the EEOC and plaintiffs involved in this case. As a company with zero tolerance for discrimination against any employee, we were disappointed by this lawsuit and are glad to have it behind us.”
Perhaps an even more pointed example involved the Georgia Power Company in 1999. As soon as the ugly act – someone evoked lynching by hanging a noose in the employee locker room – was reported, CEO David Ratcliffe addressed it head on. His position can be paraphrased as follows with our italics added:
“Before I respond to the specific allegations, let me first set forth our company’s values and commitments. We value equal employment opportunities for all and we are committed to diversity and a warm and welcoming work environment. Now, we just learned about this incident. I don’t know if it happened or not. But you know how I feel. You know we’re going to investigate this and deal with it.”
Although several employees filed suit, the case was eventually dismissed. The CEO – who had so artfully enlisted the media as allies by reminding them of what they themselves already knew – reduced press coverage to a one-day story.
By way of contrast, consider the approach Coca-Cola Co. took at around the same time. When several African-American employees filed a complaint with the EEOC – claiming they’d been discriminated against in their performance reviews, salary raises, and opportunities for advancement – the company immediately and categorically denied the allegations. According to several accounts in the news media, the company also attacked the plaintiffs’ character and credibility. The size of the plaintiffs’ class grew and Coke settled the case for $192 million.
To be sure, these varied examples provide a lesson plan for all organizations caught up in potentially hazardous EEOC situations. In particular:
Once you discover the charges are false, it is then appropriate to come forward and say: “We have looked closely at the complaints and found them to be baseless allegations. We vow to defend ourselves.” Even then, do not attack the plaintiffs.
In all EEOC matters, stick to the facts and always travel the high road.