Penske Automotive Not ‘Employer’ of Worker Alleging Bias
On September 19th, a court dismissed the case Divney v. Penske, determining that Penske Automotive Group could not be held liable for discrimination. Divney, an employee at an Ohio based car dealership that is a subsidiary of the Penske group, sued the parent organization, not the car dealership, as the sole defendant. A federal court determined that a parent company is only responsible for subsidiaries based on the daily interrelation of operations, significantly shared management and control of labor relations, as well as total financial control and ownership. The evidence Divney brought did not indicate that those conditions had been met.
See "Penske Automotive Not ‘Employer’ of Worker Alleging Bias", Kevin McGowan, Bloomberg BNA, September 22, 2016