The case centered on the November 2023 termination of a female server who had worked at the restaurant for less than a week. According to the EEOC’s lawsuit, management fired the employee the day after learning of her pregnancy.

The EEOC alleged that Cosmos violated Title VII of the Civil Rights Act of 1964 by dismissing the worker because of her pregnancy status. The agency filed suit in the U.S. District Court for the Southern District of Mississippi after attempting to reach a pre-litigation resolution through its administrative conciliation process.

Under the settlement terms, the companies will pay undisclosed monetary damages to the affected worker. They must also implement mandatory anti-discrimination training, revise workplace policies, and submit regular compliance reports to the EEOC.

Marsha Rucker, regional attorney for the EEOC’s Birmingham District, stated that federal law prohibits pregnancy-based discrimination in the workplace. She emphasized that employers cannot dismiss pregnant workers because of their pregnancy.

Bradley Anderson, the EEOC’s Birmingham District Director, noted that the injunctive relief in the decree, including training requirements and reporting obligations, underscores the agency’s commitment to enforcing federal protections for pregnant workers.

The EEOC filed the lawsuit as *EEOC v. Smoke BBQ LLC and Thorny Oyster LLC* (Case No. 1:25-cv-00278). The case demonstrates how pregnancy discrimination claims can proceed from complaint to resolution when employers fail to engage meaningfully in the conciliation process.

The Birmingham District Office, which handled this matter, has jurisdiction over Alabama, Mississippi (except 17 northern counties), and the Florida Panhandle.