The Price Of Pulled Offers: Healthcare Hiring Practices

A federal jury rendered a verdict in the amount of $405,083 in favor of a veteran in a disability discrimination case and against The Princess Martha, a senior living facility in St. Petersburg, Florida, managed by TJM Property Management and TJM Properties Inc.

The case arose after the applicant, a veteran with post-traumatic stress disorder (PTSD), disclosed her disability to the hiring manager and explained that she was taking legally-prescribed medication that would cause a failed drug test.

Despite taking the required drug test and making repeated attempts to provide documentation of her medication, the facility revoked her job offer without attempting to accommodate her condition.

Further, during the trial, a senior management official admitted that The Princess Martha submitted false information to the EEOC.

The jury unanimously found the applicant had a disability, disclosed it, and that the facility refused to provide reasonable accommodation during the hiring process, thereby violating the Americans with Disabilities Act (ADA).

The damages included back pay, compensatory damages, and punitive damages.

The EEOC emphasized the case's importance in enforcing workplace accommodation rights for veterans with disabilities and warned employers about their obligations under the ADA to accommodate applicants and employees with disabilities.

The EEOC sued the employer after failed pre-litigation settlement efforts and tried the case in the U.S. District Court for the Middle District of Florida.

Source: https://www.eeoc.gov/newsroom/eeoc-wins-405083-jury-verdict-against-st-petersburg-senior-living-facility (May 12, 2025).

Commentary

Healthcare organizations face significant litigation exposure when withdrawing job offers from applicants with disabilities instead of engaging in an interactive process to determine reasonable accommodations that may be needed during the hiring process and/or after employment.

Such a failure violates the Americans with Disabilities Act and related state laws, exposing employers to claims that can result in costly jury awards, back pay, compensatory and punitive damages, and attorney fees.

Preventing this exposure requires a proactive approach that includes establishing clear, written accommodation policies accessible to hiring managers and HR personnel.

Organizations should train those responsible for recruitment and hiring to recognize their legal obligations as to applicants disclosing disabilities. Hiring managers must understand the importance of immediately referring an applicant's request for accommodations to those authorized in the organization to engage in a documented, interactive process. In this process,  employers engage with applicants or employees (and often with their healthcare providers or other experts) to explore accommodation possibilities before making final employment decisions.

This involves timely communication, seeking sufficient medical or other documentation as appropriate, and considering alternatives that would allow the individual to perform essential job functions.

Organizations should also ensure consistent application of policies to prevent discriminatory practices and foster a culture that values inclusion and compliance.

Swift and thorough internal investigations of any discrimination complaints paired with alternative mechanisms for reporting, including anonymous reporting, can help mitigate risks and reinforce legal compliance.

The final takeaway is that by adopting these measures, healthcare entities can better protect themselves from costly litigation and uphold their responsibilities toward applicants with disabilities, which fosters greater workplace trust.

Finally, your opinion is important to us. Please complete the opinion survey:

Product

Articles

The Price Of Pulled Offers: Healthcare Hiring Practices

We examine the need for healthcare organizations to implement legally-compliant accommodation practices during hiring to avoid costly disability discrimination risk and promote inclusive employment.

Behind the Numbers: How Embezzlers Dodge Bank Reporting Rules

We explore the critical bank reporting requirements designed to deter financial crime and the covert tactics embezzlers use to evade detection.

Is Remote Work Making A Comeback? You Make The Call

Demands to return to the office surged after the height of the pandemic, but now new research suggests remote work is making a comeback. What do you think?

Two-Factor Authentication: No Longer Infallible Because Of Human Error

At one time, two-factor authentication was viewed as the means to protect data from human negligence. An FBI warning suggests that is no longer the case. We examine.

Religious Discrimination In Healthcare Workplaces And Modern Faiths

We examine how healthcare organizations can help protect employees and patients by fostering respect for religious diversity and preventing discrimination at all levels.