BIRMINGHAM, Ala. — Quality Restaurant Concepts, LLC, operator of approximately 60 Applebee’s restaurants in the Southeast, will pay $0.27 million to settle a U.S. Equal Employment Opportunity Commission lawsuit alleging the company permitted a sexually hostile work environment that forced at least six female employees to quit.

The EEOC’s lawsuit said the general manager of a Chelsea, Alabama, location harassed female employees through unwelcome sexual comments, advances, offensive conduct and physical contact. He and other management failed to stop other male employees and customers from doing the same.

Despite receiving complaints of this conduct and the general manager’s prior history of sexually harassing a minor female employee at another of QRC’s restaurants, the company failed to take appropriate action and allowed the general manager to continue working closely with young female employees. The company further failed to take appropriate action when a minor female employee complained about sexual harassment from a much older adult bartender. Multiple female workers subjected to this environment felt compelled to leave their jobs.

“Employers have a duty to protect young workers, who are among the most vulnerable employees in the workplace, especially in the restaurant industry,” said Marsha Rucker, regional attorney for the EEOC’s Birmingham District Office. “By enacting strong policies and procedures to ensure that all complaints of sexual harassment are taken seriously and adequately investigated, employers can better fulfill their obligations under federal law to create a safe work environment free from harassment.”

The alleged conduct violated Title VII of the Civil Rights Act of 1964, which prohibits sexual harassment in the workplace. The EEOC filed suit (EEOC v. Quality Restaurant Concepts, LLC d/b/a Applebee’s, Case No. 2:24-cv-1331) in U.S. District Court for the Northern District of Alabama after first attempting to reach a pre-litigation settlement through its administrative conciliation process.

Acting EEOC Birmingham District Director Linda Sales-Long said, “This decree’s injunctive relief, including mandatory training requirements, policy changes and reporting obligations, will help ensure that complaints are properly handled and the company’s managers are accountable for protecting the safety of vulnerable workers.”

The settlement resolves the agency’s claims of sexual harassment, constructive discharge and retaliation.

The EEOC’s Birmingham District Office has jurisdiction over Alabama, Mississippi (except 17 northern counties) and the Florida Panhandle.