TN court highlights importance of keeping age out of termination equation

The Tennessee Human Rights Act (THRA) prohibits covered employers from discriminating against employees 40 years old or older because of their age. In a recent case, the Tennessee Court of Appeals provided a reminder that other factors often correlated with age (such as salary or years of service) are distinct from age and may not stand as proxies for age in a discrimination suit. According to the court, evidence the employer was motivated to discharge employees with the highest salaries and/or most seniority was insufficient to show age was a determining factor in the termination.

Facts

Terry Wallace served four terms as Marshall County Executive, an elected position. But after losing his election in 2006, he applied for the position of city economic development coordinator for the city of Lewisburg.

Wallace, 59 years old at the time, admitted during his interview with the city council that he didn’t have “any computer skills” but was going to take courses at a community college. At the council's recommendation, City Manager Eddie Fuller hired him and mentioned the city codes inspector, Greg Lowe, could provide some assistance with computer skills.

During three years of employment, Wallace brought in three businesses to the city’s industrial park and worked to retain other employers. Amid the Great Recession, however, the city struggled with budget difficulties and high unemployment numbers.