This is an employment discrimination and retaliation case. In one issue, Metropolitan Transit Authority of Harris County, Texas (Metro) brings this interlocutory appeal challenging the trial court's denial of Metro's plea to the jurisdiction
Background
Douglas makes the following allegations in this lawsuit. Douglas is a lieutenant with the Metro Police Department. She applied
Kelly then interviewed the candidates and promoted both male candidates. Douglas was not promoted. According to Douglas, Kelly's decision not to promote her was based in part on the fact that Vera Bumpers had been selected to replace Kelly as Metro's first female Chief of Police and Kelly wanted to avoid promoting too many women to high ranking leadership roles within Metro.
Douglas filed a discrimination charge with the Texas Workforce Commission Civil Rights Division (TWC) in March 2015.
Douglas filed an amended petition in July 2016 to add retaliation claims. She contends that in June 2015, after she filed her discrimination charge, Bumpers asked Douglas's former supervisor to lower her performance rating. When the former supervisor refused to do so, Bumpers reassigned Douglas to report to a captain who was promoted instead of her.
In July 2016, Bumpers refused to sign the "distinguished" performance evaluation of Douglas written by Douglas's new supervisor. Bumpers instructed the new supervisor to lower his performance rating of Douglas, which he did. Thus, Douglas's rating was lower than all six male lieutenants. Before the discrimination charge was filed, Douglas consistently had been rated as "distinguished."
Metro filed its plea to the jurisdiction requesting the trial court to dismiss the retaliation claims for failure to exhaust administrative remedies, which the trial court denied. Thereafter, in February 2017, Douglas again amended her petition, stating that she had filed a charge alleging retaliation on December 19, 2016 and the TWC had issued a notice of dismissal and right to sue letter; thus, she contends that her administrative remedies were exhausted.
Discussion
In its sole issue, Metro argues that the trial court erred in denying the plea to the jurisdiction as to Douglas's retaliation claims because Douglas failed to exhaust her administrative remedies before bringing those claims. Douglas moved to dismiss the appeal as moot because she filed her
As a governmental unit, Metro is immune from suit absent an express waiver of governmental immunity. Harris Cnty. Hosp. Dist. v. Parker ,
The Act's immunity waiver applies only if the plaintiff alleges a violation within the scope of the statute.
When a plea to the jurisdiction challenges the plaintiff's pleadings, we determine whether the pleadings, construed in the plaintiff's favor, allege facts sufficient to affirmatively demonstrate the trial court's jurisdiction to hear the case.
Because the legislature intended for state law to correlate with federal law in employment discrimination cases, we may look to analogous federal cases when applying the Act. Id. (citing Tex. Lab. Code § 21.001 and Wal-Mart Stores, Inc. v. Canchola ,
We first address whether the appeal is moot because Douglas filed a retaliation charge and, as she asserts, exhausted her administrative remedies. See Kessling v. Friendswood Indep. Sch. Dist. ,
An appeal is moot when there is no longer a live controversy between the parties and appellate relief would be futile. Rice v. Rice ,
In this case, there are live controversies between the parties about the timeliness of Douglas's retaliation charge and whether Douglas's retaliation claims constitute actionable adverse employment actions under the Act. Thus, this appeal is not moot. We accordingly deny Douglas's motion to dismiss. See Rice ,
II. Are the retaliation claims based on materially adverse employment actions for which governmental immunity has been waived?
We turn to whether Douglas has alleged materially adverse employment actions. Metro argues that in failing to do so, Douglas did not make out a prima facie case of retaliation and thus cannot establish the trial court's jurisdiction.
The Legislature has waived immunity only for those suits in which the plaintiff pleads facts that state a prima facie case under the Act. Garcia ,
An adverse employment action in the context of a retaliation claim is not limited to conduct that constitutes ultimate employment decisions.
A court can consider the following factors in deciding whether an employer's actions were materially adverse as to a retaliation claim: (1) the effect the act had on the employee's prestige; (2) the effect the act had on the employee's opportunity for advancement; (3) the effect the act had on the employee's pay; (4) the effect the act had on the employee's core job duties; and (5) the effect the act had on the employee's ability to obtain outside employment. Adeshile v. Metro. Transit Auth. of Harris Cnty. , No. 14-12-00980-CV,
Metro asserts that Douglas's retaliation allegations are not materially adverse employment actions.
Here, Douglas alleges that (1) after she filed her discrimination complaint Bumpers ordered Douglas's supervisor to lower her "distinguished" performance evaluation to the lowest evaluation among seven lieutenants; and (2) "[p]erformance evaluations are used in making promotional decisions and a lowered performance evaluation could be the defining basis as to why or why not a candidate is or is not promoted." Douglas further alleges that her supervisor had given her a "distinguished" ranking in four out of eight categories, and Bumpers refused to sign that evaluation until it was changed to take away Douglas's "distinguished" ranking in all categories. In the three prior years, Douglas had received seven and eight out of eight "distinguished" rankings.
These alleged actions implicate at least two of the above factors-lowering Douglas's prestige and reducing Douglas's opportunities for advancement.
III. Was Douglas required to exhaust her administrative remedies?
Douglas argues she was not required to exhaust her administrative remedies because the trial court has ancillary jurisdiction over retaliation claims that grow out of an earlier discrimination charge under
Gupta still applicable post- Morgan . In Gupta , the Fifth Circuit created an exception to the exhaustion requirement for claims asserting retaliation for filing an EEOC complaint.
Metro argues that Gupta has been abrogated by Morgan . In Morgan , the Supreme Court held that Title VII plaintiffs could not use a "continuing violation" theory to assert claims that were based on employer acts outside the 300-day statutory window for filing an EEOC charge, thus overturning the Ninth Circuit's prior holding that courts could consider conduct that ordinarily would be time barred as long as the untimely incidents represented an ongoing unlawful employment practice.
Some courts in other jurisdictions have extended the reasoning in Morgan to include not only acts that occurred more than 300 days before the EEOC charge was filed, but any acts that occurred after the EEOC charge was filed. See e.g., Martinez v. Potter ,
The U.S. District Court for the Southern District of Texas addressed the issue and held that the high court's pronouncement in Morgan does not broadly require lower courts to extend the exhaustion requirement to acts that occurred after the EEOC charge is filed. Cooper ,
Metro argues that the Fifth Circuit has "indicated that Morgan abrogated the Gupta exception," citing Heath v. Board of Supervisors for Southern University & Agricultural & Mechanical College ,
In Heath , the Fifth Circuit merely acknowledged that a "retaliation claim based on discrete acts cannot rely on a continuing violation theory" under Morgan .
Metro also cites Skaggs v. Van Alstyne Independent School District , No. 4:16-CV-00227-CAN,
Metro further argues that public policy favors the abrogation of Gupta because deferral of all charges of employment discrimination to administrative agencies protects the agency's authority and promotes judicial efficiency. See Morgan ,
But we find the policy behind Gupta to be equally compelling, as articulated in the opinion:
It is the nature of retaliation claims that they arise after the filing of the EEOC charge. Requiring prior resort to the EEOC would mean that two charges would have to be filed in a retaliation case[,] a double filing that would serve no purpose except to create additional procedural technicalities when a single filing would comply with the intent of Title VII. We are reluctant to erect a needless procedural barrier to the private claimant under Title VII, especially since the EEOC relies largely upon the private lawsuit to obtain the goals of Title VII. Intertwined with this practical reason for our holding is a strong policy justification. Eliminating this needless procedural barrier will deter employers from attempting to discourage employees from exercising their rights under Title VII.
We find the Fourth Circuit's opinion in Jones v. Calvert Group, Limited to be instructive: "Although [the defendant] asserts that Morgan required [the plaintiff] to file a new EEOC charge alleging that she was terminated in retaliation for her first charge, we do not read Morgan that broadly."
We agree with the reasoning in Cooper and Jones . As discussed, Morgan does not address retaliation claims that grow out of a discrimination charge. And there are strong pragmatic reasons not to extend the holding in Morgan , for example, to avoid creating needless procedural barriers to a claimant bringing a retaliation claim that grows out of a discrimination charge and to deter employers from discouraging employees from exercising their rights under Title VII or the Act. See Gupta ,
Retaliation Claims Grow Out of Discrimination Charge . We turn to Metro's argument that Douglas's retaliation claims did not grow out of her discrimination claims. Metro asserts that Douglas's retaliation claims are not factually related to her discrimination charge and thus could not have grown out of her discrimination charge.
The Fifth Circuit articulated a straightforward standard in Gupta for determining when a retaliation claim grows out of a discrimination charge: when the plaintiff claims that the defendant retaliated
The cases cited by Metro do not address retaliation claims that occur after the filing of an administrative charge. Rather, they address the proper scope of a discrimination or retaliation suit based on allegations in the administrative charge. See Lopez v. Tex. State Univ. ,
The Lopez case involved retaliation claims that occurred before the administrative charge was filed.
Douglas alleges that Bumpers retaliated against Douglas for filing a discrimination charge. Accordingly, Douglas has alleged, under Gupta , that her retaliation claims grew out of her discrimination charge. See
Conclusion
We conclude that this appeal is not moot. We further conclude that Douglas has alleged materially adverse employment actions and she was not required to exhaust her administrative remedies as to her retaliation claims. Consequently, the trial court did not err in denying Metro's plea to the jurisdiction. We affirm.
Notes
See Tex. Civ. Prac. & Rem. Code § 51.014(a)(8) (allowing interlocutory appeal from trial court's grant or denial of a plea to the jurisdiction by a governmental unit).
Tex. Lab. Code §§ 21.001 -.556. Under the Act, "[a]n employer commits an unlawful employment practice if because of race, color, disability, religion, sex, national origin, or age the employer ... discharges an individual or discriminates in any other manner against an individual in connection with compensation or the terms, conditions, or privileges of employment."
Kelly was promoted to Executive Vice President of Metro.
It is not clear from the record whether the charge was filed only with the TWC or also with the Equal Employment Opportunity Commission (EEOC). It may have been filed with the TWC and presented to the EEOC, but we need not draw a distinction for purposes of our analysis. See Prairie View A & M Univ. v. Chatha ,
A plaintiff must allow the TWC 180 days to dismiss or resolve the complaint before filing suit. Tex. Dep't of Aging & Disability Servs. v. DeLong ,
Alternatively, the complaint may be filed with the EEOC. Chatha ,
Because we conclude that Douglas was not required to exhaust her administrative remedies, as discussed below, we need not parse the retaliation claims based on when they occurred.
This argument was not raised below, but we address it since it implicates the trial court's jurisdiction. See Rusk State Hosp. v. Black ,
See Tex. Lab. Code § 21.055 (making retaliation actionable for opposing a discriminatory practice; making or filing a charge; filing a complaint; or testifying, assisting, or participating in an investigation, proceeding, or hearing).
Generally, ultimate employment decisions involve hiring, granting leave, discharging, promoting, and compensation, but not events such as disciplinary filings, supervisor's reprimands, and even poor performance by the employee-anything which might jeopardize employment in the future. Navy ,
The cases cited by Metro either are distinguishable or were decided before the Supreme Court's decision in Burlington , in which the high court set forth the standard for materially adverse employment actions in the context of retaliation claims: "which in this context means [the action] well might have dissuaded a reasonable worker from making or supporting a charge of discrimination."
Douglas does not address in her pleading or her response to the plea whether these actions would affect her pay, core job duties, or ability to obtain outside employment.
Metro argues for the first time in its reply brief that Douglas filed a grievance regarding her performance rating that was resolved in her favor and thus Metro's actions were not materially adverse. Arguments raised for the first time in a reply brief are waived. QTAT BPO Sols., Inc. v. Lee & Murphy Law Firm, G.P. ,
We look to federal law in interpreting the Act and correlate the Act with Title VII when possible. See Chatha ,
Metro cites additional cases from the Third and Eighth Circuits with similar holdings but acknowledges that the Fourth Circuit has held the opposite. Compare Green v. Postmaster Gen. of U.S. ,
