In a recent ruling by the New Jersey Appellate Division, an employment lawyer representing the employer was successful in defending a wrongful discharge case by asserting the economic downturn as a defense. Now that the economy has been ailing for quite some time, it is likely that the Appellate Division will be seeing a significant number of employment lawyers invoking the economic downturn as the employer's nondiscriminatory reason for termination. I suspect employment lawyers in New Jersey representing management are going to utilize the economic downturn as a defense to employment cases on a more frequent basis.
In McCann v. Trump Marina, Inc., App. Div. (per curiam) (9 pp.) Plaintiff Robert McCann appealed summary judgment dismissal of his employment discrimination action against defendants. McCann, along with his department, were laid off by defendant Trump Marina, Inc., a hotel and casino in Atlantic City, New Jersey, due to a financial crisis. McCann filed a lawsuit alleging that he had been terminated in violation of the New Jersey Law Against Discrimination. He had also alleged that he was subjected to a hostile work environment, and retaliation. The appellate panel affirmed summary judgment. The panel found there was no credible evidence that Trump Marina's broad-based staff reduction was a ruse or screen for termination of McCann based on race or gender discrimination, or retaliation. The panel found that while some employees were rehired or placed elsewhere, the Trial Judge correctly determined that there was no credible evidence that McCann requested either. Further, Judge Blue correctly concluded that there was no credible evidence that conduct by a security guard was motivated by a discriminatory animus or was the result of an action by McCann's co-workers.
