Thread regarding State Farm Insurance layoffs

This thread is 6.5 yrs old🙄

This topic could apply on how the leadership role modernization assessment was handled in ET and how differently it was recently handled with Info Sec management. I’m sure HR and Legal were both aware

Retired from state farm 15 years ago at age 58 because of the continual harassment from my supervisor. Forced to end my career early because of age discrimination. Tried to legally prove this but to no avail.

Sure, can’t wait to get my $23.45 settlement!

Yes recently i know of a dept - 8males over 50 only ones not offered position in transition - replaced by younger females with less experience. Also have applied for 8 positions where I’m over qualified. Now recently I know of another transition with same impacts

Yes

Yes. Interested definitely, as State Farm clearly is targeting employees. There is documentation/evidence that will be revealed. Robert Clifford, Clifford Law Offices (LAW.COM), (312) 899-9090, has prevailed against State Farm on other matters previously.

Don't give the pricks the satisfaction.

State farm only cares about money and the stupid metrics that they implement. I was forced out of work and I would tell anyone who thinks State Farm is a great place to work is very wrong. Run find any other job except for the Farm of doom.

Yes, sign me up. Send my lottery winnings to my bank account

Definitely interested.

@5Wkuo--Won't say I agree with your post(s) very much. However, the reverse discrimination issue is very real and has been for quite a while. I got out of Operations and went to Agency long ago, after several unsuccessful management interviews. After one, I was called privately at home by one of the interviewers, who told me I was going nowhere inside State Farm as a white male. The recommendation was to leave or try to get into Agency. I pursued both options, but the Agency one fell into place sooner. Leaving Ops was the right move, but in hindsight I should have left the Farm altogether. Live and learn.

To all those saying that a class action lawsuit would not be successful, I would say that depends. Sometimes the purpose of filing a lawsuit is not to recover money, but to send a message that there has been an injustice

Here is my brief background. I used to work at State Farm at a claims operation center. I worked in injury for a year. I worked for the company for nine years. I do have family members that work at State Farm. I quit working at State Farm for the following reasons: I could not ethically do my job; management was inflexible with my school schedule; and I feel, my immediate management was setting me up for failure because of my educational goals. (I passed my state's bar exam recently.)

Although, I'm not over fifty or even forty, I would say that based on what I have observed there could be a case made for age discrimination against Caucasian men over forty. This is not the only time State Farm has discriminated. (I had personally experienced reverse discrimination at State Farm because I was white and male. I was told by two different managers off the record that it would take me some time to become a claim representative because I was too white, even though, I would describe myself as belonging to a minority. I was told this in Bloomington as well as a place down south. (I'll tell you something funny. Do you remember those annual surveys that SF employees got once a year that allowed people to make a comment? I made the comment that if SF was such a diverse and inclusive workplace that they should have gender-neutral bathrooms. I was later called by a person in HR asking me if I was affected by my office location's lack of a gender-neutral bathroom, and was told to give a call to HR immediately if I needed. I would say I did this about five years ago. )

First, proving age discrimination would be difficult. There could be decades of litigation to resolve the matter. State Farm is a large company, so think of all the discovery that would need to occur. It would take time and millions of dollars to come up with the statistics to prove that age discrimination did in fact happen. (Please note that if you are 40 years or older the Age Discrimination In Employment Act applies to you.) The ADEA has a provision permitting actions where the "differentiation is based on reasonable factors other than age." A brief survey of age discrimination cases indicates that a company has the right to get rid of employees that cost the company too much. It just so happens these are usually older, heteros-xual, Caucasian males, since they do not fall under any other protected classes. I would say that the best way to confront age discrimination is to vote for state legislators that support employee's rights. (These politicians are more than likely going to be labeled as "liberal" or "progressive".

Finally, there is no such thing as an airtight or watertight contract. Forcing someone to sign away their legal rights is going to get scrutinized by a court, especially when one of the parties has a greater bargaining position than the other. Common arguments would be that such a contract is unconscionable or that there was duress or even that such contracts violate public policy. I have not done the legal research to determine how successful these arguments would be. The counter argument is that accepting a severance payment is adequate consideration for one to effectively waive their legal rights. There may be a question as to whether a full explanation of such waiver is required and how that explanation should be communicated.

In conclusion, the likelihood of success against State Farm for age discrimination alone that results in monetary damages is highly unlikely. I would not say that such a case is impossible. However, all State Farm would have to say is that the reason certain employees were let go or were constructively discharged is that they cost the company too much money.

Now about those ethical concerns... I learned the following while working at State Farm:

Lying is an effective negotiation tactic.

If you are a staff assistant and you have connections with management, you can get $30,000 to $40,000 for a knee injury that is questionably related to a car accident. Then about ten years later that same staff assistant can bully and harass a claim specialist that does not give preferential treatment to him or any customer. (This same staff assistant complained to my team manager so that I got removed from that staff assistant's claim, and the staff assistant got the monetary compensation that he wanted.)

State Farm does not put adequate resources into investigating insurance fraud.

State Farm is okay with auto property damage fraud of up to $8,000 to $9,000 per claim per SIU training I had attended during the last year that the ACC environment was around.

Also, I was threatened with being fired because a SIU team manager was upset about the level of detail I had put in my file due to my claim investigation. My file notes indicated a fraud ring consisting of certain foreign nationals. I had named that particular nationality specifically.

State Farm will pay on a total loss when the vehicle was subject to a conversion. (Few claim specialists in total loss would know what conversion is.)

State Farm encourages fraudulent injury claims based on business practices circa 2017, so long as those claims do not exceed the claim handler's minimal authority for all the people involved.

Agents are not adequately trained in the policy they are selling. Most do not know what the policy covers or what customers mean by full coverage. Example: (Most customers think that rental is included with full coverage.)

State Farm metrics promote at least unethical claim handling and probably in some states -bad faith claim handling. For instance, claim handlers are supposed to have adequate time to thoroughly investigate a claim to make a proper liability decision. My management was on me like a fly on dung if my investigation did not wrap up on the same day because some customer was complaining or because I needed to get in contact with a witness.

One claim I worked, my manager wanted me to find against our insured because our insured had made a left in front of a motorcycle. I told that manager that the claim was not so simple, and all the witnesses needed to be contacted. I think that claim took about a month to resolve liability. I had to hold my ground against my manager. For the benefit of our insured, I was able to make a favorable liability decision for the insured because of my taking the time to do a proper investigation despite pressure from management to resolve the claim.

State Farm is inviting fraudulent claims by doing away with its State Farm field inspectors.

I'm sure many of you have similar stories.

Best of luck to you all.

I remember when we did a reorg 4-5 yrs ago and we had an employee meeting at the main office. They split employees up at different tables according to their new roles. There was one table of employees who did not receive new roles and were being let go on the final date of the reorg. That table consisted of men who were all over 50. What shocked me is that they they were good employees and very skilled at their jobs. It was at that moment I realized that State Farm was no longer a good company to work for. I saw age discrimination that day and there was no attempt to hide it.

Yes! Voluntarily signed? Leverage, duress? Those words are a better fit than voluntary. Absolutely had no choice but to sign. That doesn’t sound voluntary to me! No choice was offered to stay employed so was forced out! What are you supposed to do when you’re in your late 50’s? That’s not voluntary....that’s duress! You sign to survive...that’s not voluntary! Applied and interviewed for a job before severance but job was given to employee who had moved from Legacy to Enterprise. He didn’t like it so they allowed him to go back to his Legacy job and wait for something he liked better...true story.

I know of several people that have been forced to retire in my office and

I am pretty sure they are working on some more people in my office. Thing is State Farm has big pockets and expensive lawyers instructing them how to force people out so those same people can't turn around and sue them.

I do feel like older employees are discriminated against. I wanted to apply for a position that I was highly qualified for. The head guy basically told me that although it didn’t state college degree required I would not be considered without one. I think a large part was my age. They didn’t want to invest in someone who could retire in a few years.

Each year it gets worse at SF.

Talked to counsel today. No case. And so it goes.

Possibly after I talk to an attorney this week

Where is the proof? What I know is it is based on job class/codes. My area had people of varying ages but we were all the same job class/codes. Several of us were targeted (varying ages & yrs with SF).

No interest.

I know when people accuse me of push back, the first thing I do is push back some more. LOL.

I am 53. My fingers are crossed that I get a package or let go as an early retirement gift. Not all of us over 50 view it as a bad thing. I have worked long and hard. At 53 I am tired.

I don’t believe there is push back. In the subject line a question was asked and people are answering and giving reasons for their answer. Explain to me how that is push back please? I stated in my response that my son is an attorney. He reviewed it before I signed and confirmed it was air tight. I have family at risk of retaliation too. Not that there would be retaliation but I don’t want to risk it. I don’t see how you think I didn’t do my homework or that I am pushing back. I have prospects in the works and I am looking forward to a new opportunity.

There is something strange with this thread. There is much more push back here than in the other subjects (Don't sue because you are bound to lose, don't sue because your family will be at risk, don't sue just walk away, don't even talk to a lawyer because State Farm has it figured out, etc.). Do your homework people and make up your own mind.

Definitely not. I read the fine print. Would be worthless. Time better spent looking for a new job.

//A lot of people in here discouraging a lawsuit, as if they have some personal stake in a multi-billion dollar company getting sued, especially if the lawsuit is without merit and would die on the courthouse steps.

Seems really fishy.

I wouldn't listen to these people. If you think you have a case, talk to a lawyer.//

Quit looking for some conspiracy that is not there. I am older than my spouse and was offered voluntary severance with a no sue clause. I willing accepted it. My son is an attorney and reviewed the agreement which he said was air tight. That was before I accepted it. Since my spouse still works for SF there is no way I would ever be part of some frivolous class action suit even if I had not had the agreement reviewed by an attorney beforehand. Why jeopardize him. You need to look at every angle before you start commenting about things you know nothing about.

A lot of people in here discouraging a lawsuit, as if they have some personal stake in a multi-billion dollar company getting sued, especially if the lawsuit is without merit and would die on the courthouse steps.

Seems really fishy.

I wouldn't listen to these people. If you think you have a case, talk to a lawyer.

My wife and daughter are still working for State Farm while I took severance. Given that I would be stupid to be part of a class action suit. Best to let it go.

I was a Claim Rep. Agree w/other poster that only old people being let go. When I got severance there were several young people let go. Screaming age discrimination in claims would be a joke.

Tipsord, is that you?

Those let go in claims needed let go. There has been as many young ones let go as older ones. There has also been claims personnel promoted to Analysts. Young and old equally. I believe the prior statements to be inaccurate.

To the previous poster: gather data on that. That might be an avenue worth going down. If you can prove that State Farm has been systematically weeding out older employees to avoid paying severance....

Plus, it totally sounds like something they would do, especially in claims.

We have people being targeted and terminated in claims in advance of office closures to avoid severance. I’m thinking there may be at least 40-50 this has happened to since 2013 and in past year and currently. Time will tell. Good luck to all.

Oh heck no! You need at least 40 people for a judge to authorize the suit. At that it can take 1-3 years or longer to get resolved. Idk that I want to continue fretting over all of it that long plus if the Farm turns things around I do not want my kids black listed from being potential employees b/c I decided to be part of a Class Action. I have to think beyond myself. I gladly signed my severance on Friday. I was not pressured. Honestly, with all the changes and stress I was more than glad to sign it. I am too old for all this. It is a personal choice but prior to making a decision either way weigh the pros and cons. Do not make a decision out of spite that might but your family in the butt in the future.

No. What do we hope to gain? I took my severance, cut my losses, and I have moved on. Everything happens for a reason.

Employing a large legal team like State Farm does not mean the company is infallible. Class action judgments have been ruled against the company in the past. Example: Bryan Shiosaka v. State Farm Mutual Automobile Insurance Company. Also, signing a severance agreement does not waive all of your rights. It is best to know your rights, seek out council before you sign the severance agreement. However, even after you have signed the agreement, you may still have rights. Example: Older Workers Benefits Protection Act. Seeking out options is a personal choice. You may have decided you have enough of State Farm and want to go on with your life or you may decide to perform your due diligence to explore legal options. No right or wrong.

State Farm has a whole legal department that consults on matters before decisions are made. I doubt they would make that large if a mistake. Sometimes it’s best to let laying dogs lye. If you resigned voluntarily you will have an uphill battle.

I agree with the last post. Nothing ventured, nothing gained. I'm not in the effected group for this lawsuit and I too doubt it would work out, but most lawyers will meet for free for an initial consultation, especially for a Big Fish like State Farm.

I think you'd probably need something more than the voluntary severance packages, but maybe somewhere under the hood of this whole thing it could be proven that they were motivated by age discrimination.

Good luck.

For those who are discouraging the review of having a class action lawsuit - we have nothing to lose but a phone call, a meeting and some time. Let the attorneys decide if there is a case or not. There are many good attorneys in Chicago. If the employees have been wronged, let there be justice. This would be a whale of a case. If the company has been lawful, we walk away knowing that we have turned over every stone.

Those of you who think you can do a class action suit are wasting your time. Their lawyers have it all tied up. Voluntary you have no shot at it all because you signed an agreement saying you won’t do anything. Involuntary same thing if you want the money shut up and take it. Otherwise yeah maybe you could walk but they’re doing it by classes so there is no way that they can be pinned down regarding age. Spend your time looking for a new job if you need one.