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William F. Allen Richard M. Baker Calvin Ballew Danial Bennett George W. Earle Jimmy R. Edom Carl L. Fitzhugh Steve Holman Charles W. Huitt William H. Igou Gerald Jeffery Floyd L. Keene Gayle King Joel B. Sanford Tony Sparks Freddy Sullivant Jerry D. Thompson Larry W. Thompson Robert G. Woolf Virgil Collins Jerry Huffman Larry Layne James Nolan Don Clements, - Donald R. Glasgow Francis M. Shead William S. Baldwin Wayne Henson Kathleen Reynolds v. Entergy Corporation, Inc. Entergy Services, Inc. Entergy Arkansas, Inc., Formerly Known as Arkansas Power & Light Company

Citations: 193 F.3d 1010; 1999 U.S. App. LEXIS 25028; 77 Empl. Prac. Dec. (CCH) 46,192; 81 Fair Empl. Prac. Cas. (BNA) 83Docket: 98-1715

Court: Court of Appeals for the Eighth Circuit; October 8, 1999; Federal Appellate Court

Narrative Opinion Summary

In this case, former employees of Entergy Corporation alleged age discrimination under the Age Discrimination in Employment Act (ADEA), challenging Entergy's new employee evaluation system for causing a disparate impact on older workers. Following an 18-day jury trial, the jury ruled in favor of Entergy on the disparate-impact claims, finding a business justification for the ranking system. The appellants argued that the district court erred in jury instructions by applying the Wards Cove standard, which they claimed was overruled by the 1991 Civil Rights Act. They asserted that the pre-Wards Cove standard, requiring employers to prove business necessity, should apply. The court, however, found the objections insufficient to preserve the issue for appeal, concluding that any instructional error was not plainly erroneous. Additionally, the appellants' claims for judgment as a matter of law were rejected, as the jury's verdict was supported by evidence. Despite dissent from Circuit Judge Heaney, who argued that the appellants properly preserved their instructional error claim, the majority upheld the district court's judgment. The decision emphasized the unsettled nature of the burden of proof standard for ADEA disparate-impact claims within the circuit.

Legal Issues Addressed

Age Discrimination under the Age Discrimination in Employment Act (ADEA)

Application: The case involves claims of age discrimination under the ADEA, specifically addressing whether Entergy's employee ranking system resulted in a disparate impact on older employees.

Reasoning: Former employees of Entergy Corporation, Inc. filed a lawsuit against the company and its subsidiaries alleging age discrimination based on disparate impact and disparate treatment.

Burden of Proof in Disparate Impact Claims

Application: The court addressed the burden of proof in disparate impact claims under the ADEA, with the appellants arguing for a pre-Wards Cove standard requiring the employer to prove business necessity.

Reasoning: They assert that Entergy should have borne the burden of proving the business necessity for its ranking system, rather than the appellants having to disprove Entergy's justification.

Business Justification and Necessity in Employment Practices

Application: The jury found that Entergy's ranking system had a business justification, which the plaintiffs failed to effectively counter by demonstrating a less discriminatory alternative.

Reasoning: While the jury acknowledged the adverse impact on employees aged 40 and older, it found that Entergy had a valid business justification for the ranking system and that the appellants failed to demonstrate the existence of a less discriminatory alternative.

Jury Instructions and Procedural Requirements

Application: The appellants contended that the District Court erred in its jury instructions by following the Wards Cove standard, claiming that their objections were sufficient to preserve the issue for appeal.

Reasoning: The appellants could not show such error, particularly since the 1991 Civil Rights Act amended Title VII but did not explicitly alter the application of the Wards Cove analysis to the Age Discrimination in Employment Act (ADEA).

Preservation of Instructional Error for Appeal

Application: The court examined whether the appellants sufficiently preserved their claim of instructional error for appeal, focusing on whether their objections met procedural standards.

Reasoning: The majority's decision incorrectly finds that the appellants' claim of instructional error is procedurally barred.