What is the cap for compensatory and punitive damages for companies with 15 to 100 employees?

What is the cap for compensatory and punitive damages for companies with 15 to 100 employees?

• A. $50,000
• B. $100,000
• C. $200,000
• D. $300,000

Answer: (A)

The cap for compensatory and punitive damages for companies with 15 to 100 employees is indeed $50,000. This figure is established under various employment laws, including the Civil Rights Act of 1991, which dictates the limits based on the size of the employer. For employers in this specific range, the lower cap is designed to balance the interests of employees seeking justice for discriminatory practices against the financial capabilities of smaller businesses. Understanding this limit is crucial for HR professionals and organizations to ensure compliance with federal regulations and to manage their potential liabilities effectively. Such caps help to provide a structured approach to addressing claims while recognizing that larger organizations, which may have more resources, face higher limits. Thus, knowing these thresholds is essential for strategic planning in risk management and employee relations.

The cap for compensatory and punitive damages for companies with 15 to 100 employees is indeed $50,000. This figure is established under various employment laws, including the Civil Rights Act of 1991, which dictates the limits based on the size of the employer. For employers in this specific range, the lower cap is designed to balance the interests of employees seeking justice for discriminatory practices against the financial capabilities of smaller businesses.

Understanding this limit is crucial for HR professionals and organizations to ensure compliance with federal regulations and to manage their potential liabilities effectively. Such caps help to provide a structured approach to addressing claims while recognizing that larger organizations, which may have more resources, face higher limits. Thus, knowing these thresholds is essential for strategic planning in risk management and employee relations.