Question:
Following a decline in cigarette sales, L & M, Inc., hired J. Gfeller as vice president of sales and charged him to turn around the sales decline. After receiving an analysis of the ages of sales personnel and first-line management, Gfeller and his assistant, T. McMorrow, instituted an intensive program of personnel changes that led to the termination of many older managers and sales representatives. A top manager who sought to justify keeping an older manager was informed that he was “not getting the message.” Gfeller and McMorrow emphasized that they wanted young and aggressive people and that the older people were not able to conform or adapt to new procedures. R. E. Moran, who had been rated a first-rate division manager, was terminated and replaced by a 27-year-old employee. Gfeller and McMorrow made statements about employees with many years’ experience: “It was not 20 years’ experience, but rather 1 year’s experience 20 times.” The EEOC brought suit on behalf of the terminated managers and sales representatives. The company vigorously denied any discriminatory attitude with regard to age. Decide. [EEOC v Liggett and Meyers, Inc., 29 FEP 1611 (EDNC)]