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Employment Law Blog

March 21st, 2016

FRONT PAY

Blog by Folkerth Law

Front pay (payment of future lost wages) is an equitable remedy that is primarily awarded in discrimination cases when reinstatement is not feasible. Worrell v. Multipress, Inc., 45 Ohio St.3d 241, 242 (1989). Front pay may be awarded as compensation for lost earnings and benefits that will accrue during the time it is expected to take to find new employment in a position of equal or similar status. Worrell, supra. The factors considered in determining the amount of front pay are the age of the employee, the reasonable amount of time it is anticipated the employee will need to obtain a comparable position, the employee’s salary and other benefits such as bonuses and vacation pay, expenses the employee will incur in seeking new employment, and the replacement value of fringe benefits. Worrell, supra. When front pay is appropriate, pension benefits an employee would be expected to receive are included. Skalka v. Fernald Environmental Restoration Management Corp., 178 F.3d 414, 425 (6th Cir. 1999). When calculating front pay, the amount of front pay must be reduced to present value. Madden v. Chattanooga City Wide Service Dept., 549 F.3d 666, 679 (6th Cir. 2008). Common law remedies may also include the award of front pay, depending on the circumstances of the case.