Job applicants in California have reached a deal to resolve their claims that an occupational health screening company unlawfully used a pre-employment screening with 150 medical questions that were not job-related, according to a motion filed June 13 asking the court to approve the settlement agreement.
As part of the settlement, U.S. Healthworks Medical Group and other defendants are required to pay $1 in nominal damages for each of the 172,070 members of the class action lawsuit. In addition, U.S. Healthworks has agreed not to use the questionnaire in the future.
The plaintiffs’ lawyers said the $172,070 in damages will go to Legal Aid at Work, a California group that promotes class action employment litigation on behalf of workers.
Filed at the U.S. District Court for the Southern District of California, the case alleged that U.S. Healthworks administered the screenings on behalf of employers, and the questions weren’t necessarily job-related.
For instance, one plaintiff said she was asked unnecessary questions, such as the date of her last menstrual period, while applying for a food service job at a retirement facility. When she refused to answer, U.S. Healthworks allegedly stopped the exam, and the employer subsequently withdrew the job offer.
The lawsuit — Raines v. U.S. Healthworks Medical Group — alleged that many of the questions violated the California’s Fair Employment and Housing Act, which requires pre-placement, post-offer medical inquiries to be job-related and necessary for business. The defendants did not admit liability, per court records.
In 2023, the California Supreme Court ruled that the vendor could be considered liable as a third-party business agent for employers. In 2024, the class action was opened to every applicant for a paid position who took the health history questionnaire between Oct. 23, 2017, and Dec. 31, 2018.
Although FEHA is a California law, some federal laws have similar requirements. The Equal Employment Opportunity Commission provides enforcement guidance related to disability-related inquiries and medical exams under the Americans with Disabilities Act. In general, any inquiries and medical exams must be “job-related and consistent with business necessity,” according to the guidance.
