# Equal Employment Opportunity Commission v. Preferred Management Corp.

> District Court, S.D. Indiana · March 1, 2002 · 216 F. Supp. 2d 763

URL: https://www.frixlaw.com/law-library/cases/2378208

## Case

- **Full name:** EQUAL EMPLOYMENT OPPORTUNITY COMMISSION, Plaintiff, v. PREFERRED MANAGEMENT CORPORATION, D/B/a, Preferred Home Health Care, Preferred Medical Care, Inc., Preferred Home Health Care-Vincennes, Inc., D/B/A Preferred Home Health Care-Lafayette, and Preferred Home Health Care-Vincennes, D/B/A Preferred Home Health Care-Vincennes, Defendants
- **Court:** District Court, S.D. Indiana
- **Decided:** March 1, 2002
- **Citations:** 216 F. Supp. 2d 763; 88 Fair Empl. Prac. Cas. (BNA) 1363; 2002 U.S. Dist. LEXIS 3495
- **Precedential status:** Published
- **Opinion:** Opinion by Barker
- **Judges:** Barker
- **Cited by:** 4 later opinions in the Frix Law Library

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## Opinion text

ENTRY ON ALL PENDING MOTIONS
BARKER, District Judge.
I.
Introduction and Outline.
This is an employment discrimination case involving alleged religious harassment and disparate treatment in violation of Title VII, 42 U.S.C. §§ 2000e et seq, as amended, 42 U.S.C. § 1981a. The case consists of two categories of claims: “pattern or practice” claims and individual disparate treatment claims. Both categories include allegations of hostile work environment and allegations of job discrimination. More specifically, the complaint alleges that the defendants (collectively known here in the singular as “Preferred”) engaged in a pattern or practice of unlawful conduct, in that it systematically created or condoned a hostile and abusive work environment based on religion, and systematically engaged in discriminatory employment actions on the basis of religion. It also alleges disparate treatment claims on behalf of seven individual complainants in that Preferred allegedly created or condoned a hostile and abusive work environment based on religion affecting six of the complainants, and unlawfully based specific employment decisions affecting all seven complainants on religious criteria.
The case is before us on defendant’s motion for summary judgment as to all claims. We also address here three collateral but significant matters. Two of the collateral issues were raised in Preferred’s “Establishment Objections” (which we construe as a motion to strike certain of the EEOC’s statements of fact and the evidence upon which they rest) and in the EEOC’s Motion for Partial Summary Judgment on Preferred’s affirmative defenses. The third preliminary issue was raised by Preferred on summary judgment. It alleges that some of the EEOC’s claims do not rest on a timely charge of discrimination so that the EEOC’s pattern or practice claim is time barred, as is the failure-to-hire claim on behalf of Teresa Raloff. We address these pending motions and related matters here because they are inextricably intertwined with the merits on summary judgment.
Because this ease is complicated, we acknowledge that this Entry is long. Accordingly, we provide the following outline in order to facilitate access to its various parts and analyses.
II.
Statement of Facts
A.
Facts Generally Relevant to All Claims.'
B.
Facts Pertinent to Individual Claims.
1.
Theresa Raloff.
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2. Sondra Sievers
a.
Facts Pertaining to Religion.
b.
Events Leading to Ms. Sievers’ Demotion and Discharge.
3.
Ellen Blice.
a.
Background.
b.
Events Leading to Ms. Blice’s Termination.
4.
Suzanne Elder.
a.
Background.
b.
Ms. Elder Resigns from Employment.
5.
Sherry Stute.
6.
Diana DeWester.
1.Mary Mulder.
III. ■
Analysis
A.
Summary Judgment Standard
B.
Preliminary Matters
1.
Preferred’s “Establishment Objections.”'
2. Charge Filing Statute of Limitations and Teresa Raloffs Claim
3.
EEOC’s Motion for Partial Summary Judgment
C.
Hostile Environment and Constructive Discharge.
1.
The Law of Hostile Environment.
2. Pattern or Practice.
3.
Individual Harassment Claims.
a.
Sondra Sievers
b.
Ellen Blice
c.
Suzanne Elder
d.
Sherry Stute
e.
Diana DeWester
f.
Mary Mulder
4.
A Note on Coercion
5.
Vicarious Liability versus Negligence
6.
Constructive Discharge
D.Individual Disparate Treatment Claims.
1.
Legal Analysis
2. Sondra Sievers: Demotion, Discharge, Retaliation.
a.
Ms. Sievers’Demotion.
b.
Ms. Sievers’Discharge
c.
Retaliatory Discharge
3.
Ellen Blice
a.
Discriminatory Discipline
b.
Discriminatory Discharge
i.
The Decision Maker
ii.
Ms. Blice’s Discharge
4.
Sherry Stute: Failure to Promote.
IV.
Conclusion.
For the reasons explained here, We DENY Preferred’s motion for summary judgment except with respect to the EEOC’s claim that Ellen Blice was the victim of discriminatory discipline. We construe Preferred’s “Establishment Objections” as a motion to strike and DENY that motion. We GRANT the EEOC’s motion for partial summary judgment in all particulars,
except
for its request that we find as a matter of law that PMC is a proper defendant and
except
for its request that we find admissible all evidence of Preferred’s conduct before June 18, 1995 and after July 26, 1996. To the extent that Preferred’s arguments concerning statute of limitations may be viewed as a motion separate from its motion for summary judgment, we DENY that motion and conclude that none of the EEOC’s claims is barred by any statute of limitations.
II.
Statement of Facts
A.
Facts Generally Relevant to All Claims.
It is a commonplace of summary judgment jurisprudence that we recite the facts
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in a light reasonably most favorable to the plaintiff as the party opposing summary judgment and that we resolve all disputes of fact in the plaintiffs favor. These principles are of more than ordinary importance here, because many of the facts, and even the facts’ nuances, are hotly contested. Where, as here, the parties advance different theories of the case, they tend to question whether certain facts are even relevant, much less material.
We remind the parties — and particularly the defendant moving for summary judgment — that, since we do not weigh the evidence, we do not seek a “balanced” recitation of the facts. We recite the facts “uniformly favorable” to the non-moving party.
Venters v. City of Delphi,
123 F.3d 956, 962 (7th Cir.1997). Similarly, notwithstanding Preferred’s objections to the EEOC’s “selective editing” and other literary devices, the EEOC has no duty on summary judgment to be “fair” or “balanced” or “complete” in its presentation of the facts. Fairness is for trials. Summary judgment tests only whether the plaintiff has presented legally sufficient evidence to go to trial. Accordingly, the EEOC’s only obligation on defendant’s motion for summary judgment is to present admissible evidence tending to raise genuine issues of material fact.
1.
The Company and its Management Personnel.
The Preferred companies consist of four operating companies,
1
a real estate company,
2
and a management company.
3
Pl. Add. Facts, ¶ 661. All of the Preferred entities are owned equally by Jackie Steu-erwald and Greg Steuerwald (husband and wife). Pl. Add. Facts, ¶ 663. All of the Preferred companies use the same personnel manual, financial policies, and employee benefits. Pl. Add. Facts, ¶ 664. With the exception of Preferred Properties, all of the Preferred entities have the same officers and board of directors. Pl. Add. Facts, ¶ 665. Preferred Management Corporation (hereafter “PMC”) provides training for all of the operating companies; it also manages the operating companies’ payrolls, finances, information systems, and human resources. Pl. Add. Facts, ¶¶ 667, 667. The defendants here are the Preferred entities that are engaged in operating home health care services. We refer to them collectively throughout as “Preferred.”
Michael Pyatt was employed by PMC as Director of Human Resources from October 1994 through 1998. He was a member of the executive management team. He had authority to hire for any position within the company and oversight of all decisions to terminate. He was responsible for all training with respect to personnel. He also participated in creating and reviewing company policies. Pl. Add. Facts ¶¶ 678-683.
Denise Sehrock is Preferred’s Chief Financial Officer. As CFO, her primary responsibility is the company’s fiscal condition and its overall management. She also helps make company policy. Pl. Add. Facts, ¶¶ 684-687.
Diane Christian started as a director of training and development in 1991; she later became the company’s Northern Area Administrator. As the Northern Area Ad
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ministrator, her job duties included visiting the northern branches and meeting with the branch managers to discuss issues in the office such as client load, patient problems, personnel issues and issues in the health care market. In 1995 or 1996, she became Preferred’s Chief Nursing Officer, which made her a member of the executive management team. PI. Add. Facts ¶¶ 688-690.
Ann Parker was Preferred’s Southern Area Administrator from some time in 1990 through November 1995. As Southern Area Administrator, she supervised branch managers in the Vincennes, Jasper and Washington offices. PL Add. Facts ¶¶ 692, 693.
Teresa Jennings (later Hedges) was promoted to Southern Area Administrator in December 1995. As the Southern Area Administrator, she had authority to hire and fire employees. PI. Add. Facts ¶¶ 694, 697.
Gregg Johnston was the Director of Program Development at Preferred and was responsible for marketing. PI. Add. Facts ¶ 698.
Nellie Foster was initially hired as a consultant for Preferred; in January 1996, became a member of the corporate team as a training and development manager. Ms. Foster’s previous work experience included working as a minister of Christian education at the Southwest Church of God.
Sue Klein became the interim branch manager for the Vincennes branch in mid-November 1995. After being interviewed by a panel, Darlene Wright sent a summary of the panel’s evaluations to Jackie Steuerwald, who decided to promote Ms. Klein to the branch manager position. Ms. Klein had had no managerial experience prior to being named interim branch manager at Vincennes. As an interim branch manager and as a branch manager, Sue Klein’s responsibilities included overseeing the functions of the office and the staff, managing the financial aspects of the branch, hiring employees, and disciplining employees. PI. Add. Facts ¶ 712, 734-737.
Wanda Wallace became acting branch manager for the Evansville branch in February 1996. Ms. Wallace trained and supervised Sherry Stute. PI. Add. Facts ¶¶ 738-740.
Since 1990, Darlene Wright has been the personnel director for the southern district of Preferred. Ms. Wright’s responsibilities include pre-screening of applications, preliminary interviewing of applicants, making recommendations to supervisors about applicants, making recommendations about corrective actions and discipline, and making recommendations for termination. PI. Add. Facts ¶¶ 741, 742.
Donna Drew started as a field nurse in 1993. In 1996 or 1997, she was promoted to be RN Supervisor in the Vincennes office. PI. Add. Facts ¶¶ 743-744.
2.
Religion and the Work Place.
Preferred’s guiding hand is Jackie Steu-erwald, the company’s co-owner and chief executive officer. Def. Facts, ¶ 2. Ms. Steuerwald identifies herself as a practicing Christian who adheres to a literal interpretation of the Bible, which she reads daily. She professes a concept of salvation by the grace of God and that she is “born again.” Ms. Steuerwald believes that God directed her to establish PHHC in Vin-cennes and that Preferred is God’s home health care agency. She openly shares these beliefs with her employees. Ms. Steuerwald has prepared a narrative entitled “The Transfiguration of Preferred,” a brief history of the company’s formation, which discusses her belief that God was involved in Preferred’s establishment and is involved in Preferred’s direction. Def. Facts, ¶¶ 9-16. PI. Add. Facts, ¶ 815.
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Ms. Steuerwald believes in “The Great Commission,” a religious directive to go into the world to share her faith. “The world” includes the work place. Def. Facts, ¶¶ 19-20. Asked whether she believes that religion is appropriate in the workplace, Ms. Steuerwald responded: “I don’t believe it can be ... If you’re a person of faith, it can’t be separated.” Steuerwald Dep., I, 69. She added by way of explanation: “Well, in Him I live and breathe and have my being, and I don’t leave my faith at the door when I go to work. It’s who I am. It permeates my thinking, my decisions.” Steuerwald Dep., I, 69.
Ms. Steuerwald anoints new branch offices with olive oil and asks God’s blessing on each new office. Def. Facts, ¶ 18. When a new office is anointed, the ceremony is conducted during working hours. PI. Add. Facts, ¶ 810. Ms. Steuerwald also has anointed two existing facilities, in Terre Haute and Evansville, because of strife and discord in those offices. Ms. Steuerwald testified that she discerned demons in those offices and that by anointing them she believed she was able to rid the offices of the demons. PI. Add. Facts, ¶ 803, 806, 807. Ms. Steuerwald also has anointed individual employees of Preferred for healing purposes. She believes that anointing has healing power. PI. Add. Facts, ¶ 811, 812.
Ms. Steuerwald defines Preferred’s mission as presenting God and his Son, Jesus Christ, to all of Preferred’s employees. Def. Facts, ¶ 23. Preferred’s mission statement includes that its primary mission is “to be a Christian dedicated provider of quality health care.” Def. Facts, ¶ 30. Preferred employs an “evangelism and discipleship” subcommittee, whose members have prayed for the salvation of employees. Def. Facts, ¶¶ 27, 28.
Beginning in June 1995, Preferred has required its employees, as a condition of employment, to sign a statement that includes the words: “I have examined myself and I agree that I have respected and actively supported Preferred’s Mission and Values during this past year of employment and I agree to respect and actively support Preferred’s Mission and Values for the coming year.” Def. Facts, ¶37; PI. Add. Facts, ¶ 824. Preferred’s managers and supervisors are instructed to use the company’s values in disciplining employees because values are considered a standard of performance. Def. Facts, ¶ 41. Preferred employees are evaluated according to the Mission and Values Statement. PI. Add. Facts, ¶ 841. They are also disciplined on the basis of the Mission and Values Statement. PI. Add. Facts, ¶ 843. Religious references are made on employee evaluations. PL Add. Facts, ¶ 842. Employees were terminated for violating the values in the Mission and Values Statement. PL Add. Facts, ¶ 844.
Preferred’s corporate organizational chart is known as “the wheel.” At its center is the name “Jesus,” who represents the rock upon which Preferred professes to be built. From this center, all of Preferred’s departments radiate as spokes. Def. Facts, ¶¶ 43^4. During comprehensive orientation or a management meeting, Ms. Steuerwald had a wheel on the board with Jesus in the middle and employees’ names on the spokes. She told those in attendance that, with Jesus as the foundation of Preferred and the employees there providing the care, Preferred would grow and benefit. During the comprehensive orientation that Sherry Stute attended, Ms. Steuerwald said that it was a vision of hers that the conference room at Preferred would some day be a church and that people could come there and pray. Pl. Add. Facts ¶¶ 1246,1247.
Preferred gives copies of the company’s mission statement, statement of values,
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definitions, “the wheel,” and the “Transfiguration” to all applicants as they apply for employment. Def. Facts, ¶ 45. Applicants are informed that Preferred is a Christian organization and that prayers are recited at the company; they are asked how they feel about working for a Christian organization. Pl. Add. Facts, ¶ 827. Former branch manager Sondra Sievers testified that Ms. Steuerwald told her and others that a candidate for employment who said that there was no room in the work place for religion did not belong at Preferred. Pl. Add. Facts, ¶ 828; Sievers Decl., ¶ 11. A Mormon who also was a candidate for employment, was not hired. The chaplain who interviewed the candidate told others who had been present at the interview that Mormonism is a “cult.” Pl. Add. Facts, ¶ 828; Fennell Dep., 28-30.
Preferred offers religious gatherings, which it refers to as “devotions,” to its employees on a weekly basis. The devotions are facilitated by two staff chaplains. Def. Facts, ¶¶ 46-47. Preferred states that there was no corporate-wide policy of mandatory attendance at devotions. Def. Facts ¶ 48. By contrast, Ann Parker testified that, as a manager she was required to be a “role model,” which meant, among other things, that she was “expected” to attend and was required to embody and exemplify corporate policy. Ms. Parker also testified that she discussed the manager’s responsibilities with Sherry Stute when Preferred was going to open an Evansville facility and one responsibility was to attend devotions. Accordingly, she perceived devotions to be mandatory. Parker Dep., pp. 38-40.
Human Resources Director Michael Pyatt professes to be a follower of Jesus Christ. Mr. Pyatt testified that he is saved or born again and that all of the churches he has attended are fundamentalist. Pl. Add. Facts ¶¶ 756-758. On two occasions, Mr. Pyatt conducted devotions at a branch office. Pl. Add. Facts, ¶ 831. Prayer and “script devotion” on various themes are conducted at the weekly devotions. Pl. Add. Facts ¶ 838. Ms. Steuer-wald sometimes commented about employees’ attendance at devotions. Pl. Add. Facts ¶¶ 833-835, 914, 1488. Employees are not told that they may leave meetings before prayer is conducted. Pl. Add. Facts, ¶ 840. The handwritten document, “Expectations of Branch Manager,” included the following items: (1) actively demonstrate company values, behavior standards of branch manager (attached) and (2) devotions are held weekly at a scheduled time. Pl. Add. Facts ¶ 1474;
Sue Klein became the interim branch manager for the Vincennes branch in mid-November 1995. She was interviewed for the regular branch manager position on December 20, 1995 by a panel consisting of Darlene Wright, Terry Jennings and Chaplain Chuck Harrington. The interview panel asked Ms. Klein: “How has your association with Preferred affected you personally since you were hired?” Ms. Klein responded that her association with Preferred had a tremendous impact professionally and spiritually, that she loves to share her beliefs about Jesus and is able to do that at Preferred. The interview panel asked Ms. Klein: “What significant growth have you experienced in the past year and what brought it about?” Ms. Klein responded that she experienced growth of a spiritual nature and knew that she rested in God’s hands and that God is in charge. The interview panel asked Ms. Klein to name three assets that she would bring to the branch manager position. She responded: “Caring, Dependence on the Lord, and Willingness and desire to do the job.” The interview panel asked her: ‘What temperment [sic] traits and/or characteristics do you have that would enable you to be an effective manager?” She
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responded that she tries to be gentle in approach, listens to all sides of different situations and “takes all situations to the Lord in prayer.” Pl. Add. Facts ¶¶ 712-722.
The interview panel asked Ms. Klein “What role do you feel evangelism plays in the position of branch manager?” She responded: “Spreading the Gospel is dear to my heart. The opportunities are endless with Preferred. Shared an opportunity to share the power of God yesterday with Lori Merchant, Physical Therapist.” The interview panel asked Sue Klein, “What motivates you as a person?” She responded: “Faith in the Lord Jesus Christ.” Pl. Add. Facts ¶¶ 723-725.
In evaluating their interview with Ms. Klein, panel members indicated whether they would hire her and why, including such comments as: “I appreciate her strong faith in Jesus and because faith is a priority with her. She also has a spirit of cooperation; ... she has Godly values; ... Sue’s faith is devoted and inspiring.” Panel members wrote the following types of comments to the question “Could you identify their values in the interview and what were they?” in Sue Klein’s interview: “Honesty, Integrity and a dependence on the Lord for guidance; God is her source of wisdom and strength; Faith, honesty, integrity and caring; Integrity, Trust in God, Fairness, honesty, non-indispensabili.ty.” Pl. Add. Facts ¶ 731, 732.
Darlene Wright compiled the responses of the panel members and wrote the following summary on Sue Klein’s interview:
The committee identified Sue as a person with integrity who exemplifies honesty and fairness. She derives her wisdom and strength from the Grace of God.
* * *
The concerns of the committee were her lack of knowledge regarding regulations and the financial aspects of the branch. It was also noted that she fails to see “The Big Picture” in regard to Branch Operations. We feel with Sue’s willingness to learn, and intelligence she will succeed as an effective Branch Manager.
Pl. Add. Facts ¶ 733.
After Sue Klein became acting branch manager for the Vincennes branch, she told Ellen Blice that Ms. Blice had 'to attend devotions because she needed to learn to be more humble. Ms. Blice declined to attend because such devotions were contrary to her religious beliefs. Pl. Add. Facts ¶¶ 1082, 1083. At the February 14, 1996, devotions, Ms. Steuerwald handed Ellen Blice a song sheet for the song beginning “He is a mighty God” and said “You need to sing this.” Pl. Add. Facts ¶ 1114. Christine Fennell was reprimanded at one point during her employment at Preferred for missing too many devotions. Pl. Add. Facts ¶ 1446.
As a consultant and as a trainer and developer, Nellie Foster was responsible for teaching the “Leader in the Making” program to corporate and branch managers. Ms. Steuerwald described The Leader in the Making program to employees as a way to “understand Jesus modeled leadership.” Ms. Foster spoke about scriptures in her management training and referenced scriptures, the Bible, and religion in the handouts she distributed in training sessions. Corporate and branch managers were required to attend sessions for the Leader in the Making management program. In conjunction with the area administrators, Ms. Foster had authority to decide who met the qualifications for the Leader in the Making program. Ms. Foster also did training sessions in the branches for the branch staff. Pl. Add. Facts ¶¶ 699-708. Preferred’s CEO, Jackie Steuerwald, sent a letter to Preferred
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staff that reads, in part: “I would ask every employee at Corporate and each Branch to be involved in this training [Leader in the Making programs]. You will be notified by a memo as to which track you will be a part of.” Pl. Add. Facts ¶¶ 709, 710.
Preferred also encourages prayer in the workplace outside of devotions. For example, prayers are recited before employee meetings. Pl. Add. Facts ¶ 839. Sondra Sievers testified that Vincennes branch had prayer at weekly devotions and then employees began praying for help with anything and everything. Pl. Add. Facts ¶¶ 910, 912. Ellen Blice testified that a prayer was recited before each meeting that Ms. Steuerwald conducted. Pl. Add. Facts ¶ 1070. At times, branch manager Sue Klein would grab Sherry Stute’s arm, as well as the arms of other employees, and ask: “Have you prayed today?” Pl. Add. Facts ¶¶ 1203, 1204. “Leader in the Making” presentations always started out with prayer. Pl. Add. Facts ¶ 1206. Prayer also was conducted each day at comprehensive orientation and branch manager meetings. Pl. Add. Facts ¶¶ 1243, 1251.
As Director of Human Relations, Michael Pyatt did not conduct any training on religious harassment or religious discrimination for Preferred employees, nor did Mr. Pyatt have training on religious harassment. Pl. Add. Facts, ¶ 845, 847. Preferred’s manual, used by directors to train branch managers, did not contain any reference to religious harassment. Also see Pl. Add. Facts, ¶ 846. Preferred branch managers, supervisors, and office managers- — including Terry Jennings, Ann Parker, Sue Klein, Wanda Wallace, Nellie Foster, Kathy Robinson, Rebecca Seim, Karen Lemons, and Carol Smith — received no training with respect to religious discrimination or to the handling of potential complaints concerning religious discrimination or harassment. Pl. Add. Facts, ¶¶ 846-856.
B.
Facts Pertinent to Individual Claims.
The EEOC has brought hostile environment harassment claims on behalf of six employees: Sondra Sievers, Ellen Blice, Suzanne Elder, Sherry Stute, Diana DeW-ester, and Mary Mulder; and individual disparate treatment claims on behalf of seven employees: Suzanne Elder, Sherry Stute, Diana DeWester, Mary Mulder (all four alleging constructive discharge); Sondra Sievers (alleging demotion and discharge based on religion and/or retaliation); Ellen Blice (alleging discriminatory discipline and discharge); Sherry Stute (alleging failure to promote); and Theresa Raloff (alleging discriminatory failure to hire).
4
We turn now to the factual background of these claims. In doing so, we note that many of the facts pertaining to the individual claims also have a bearing on the pattern or practice and environmental claims.
1.
Theresa Raloff.
Theresa Raloff applied for the Director of Nursing (“DON”) position in Preferred’s Lafayette Branch. She interviewed in February 1995. As part of the interview,. Ms. Raloff met with Ms. Steuerwald. Preferred acknowledges that Ms. Steuerwald terminated the interview because of Ms. Raloffs religious beliefs. Def. Facts ¶¶ 655-658. Specifically, Ms. Steuerwald asked Ms. Raloff: ‘What kind of religion are you anyway?” Ms. Raloff responded: “Unitarian.” Ms. Steuerwald replied:
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“You damned humanists are ruining the world” and told Ms. Raloff that she was going to burn in hell forever. She told Ms. Raloff the interview was terminated because Ms. Raloff was inappropriate for the company. She also told Ms. Raloff that she would pray for Ms. Raloffs soul. Pl. Add. Facts ¶¶ 1621-1623.
2.
Sondra Sievers
a.
Facts Pertaining to Religion.
Sondra Sievers served as a branch manager and nursing supervisor in Preferred’s Lawreneeville facility for three years, from May 1990 until her promotion to branch manager at the Vincennes facility in 1993. Def. Facts ¶ 58. She was demoted from branch manager on November 14, 1995 and replaced by Sue Klein. Pl. Add. Facts ¶ 989; Def. Facts ¶ 129. She was discharged from employment on March 8, 1996. Def. Facts ¶ 186.
Ms. Sievers has been a practicing Catholic all of her life. Def. Facts, ¶ 50. She considers herself to be a Christian in that she is baptized and believes in Jesus Christ. Def. Facts, ¶ 51. She does not, however, believe in the idea of being saved or born again. Pl. Add. Facts ¶¶ 898. Ms. Steuerwald knew that Ms. Sievers was a Catholic. Def. Facts ¶ 60.
During a luncheon with Ms. Sievers and employees Chuck Harrington and Ann Parker, Jackie Steuerwald asked Ms. Siev-ers, while giggling, whether it is “really true that you keep the Holy Spirit in a box at the front of your church?” Pl. Add. Facts ¶ 901; Def. Facts ¶ 67. Ms. Sievers was embarrassed by the question and made uncomfortable by it. Pl. Add. Facts ¶ 902. Ms. Sievers signed Preferred’s Mission and Values Statement, although she was uncomfortable doing so. She believed she had to sign the document as a condition of employment. Pl. Add. Facts ¶¶ 906, 907.
As a Preferred employee, Ms. Sievers watched religiously-oriented videos at work. She believed she was expected to watch the videos because Ms. Steuerwald talked about religion in every conversation and in every meeting that Ms. Sievers heard or attended. As a Catholic, Ms. Sievers was offended by the content of the videos and also thought it inappropriate for Ms. Steuerwald to imply that Medicare should pay for her to evangelize. Pl. Add. Facts ¶¶ 908, 909; Sievers Dep., 215-220. Ms. Sievers perceived prayer to be a regular aspect of the work place. Pl. Add. Facts, ¶ 910. Ms. Sievers testified that, at the Vincennes branch, prayer was conducted at weekly devotions, and then employees began praying for help with anything and everything. After Sue Klein arrived as interim branch manager, prayers were conducted every morning. Pl. Add. Facts ¶ 912; Sievers Dep., 188-189.
Ms. Sievers’ supervisor at the Law-renceville facility, Ann Parker, told Ms. Sievers that Jackie Steuerwald knew which employees attended devotions and that Ms. Steuerwald expected employees to attend. Pl. Add. Facts ¶¶ 914.
5
She also told Ms. Sievers that Ms. Steuerwald wanted staff meetings opened with prayers. Pl. Add. Facts ¶ 915..
While Ms. Sievers was still working at the Lawreneeville branch, she told Ms. Parker that she was uncomfortable with the way religion was “pushed” at Preferred. Pl. Add. Facts ¶ 916. Ms. Parker recommended that Ms. Sievers read the book, “This Present Darkness,” a book about spiritual warfare, which, she said, might help Ms. Sievers understand the beliefs of Jackie Steuerwald, Darlene
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Wright and other people with whom Ms. Sievers was working. PI. Add. Facts ¶¶ 917, 918.
Ms. Sievers received religious memos at work that were distributed in her tray or mailbox. As a branch manager, she also received from Mike Pyatt’s newsletters called “Focus on Managing,” some of which contained Biblical and religious references. PL Add. Facts ¶¶ 919, 920.
At various business meetings which Ms. Sievers attended, religion was a topic of discussion. Jackie Steuerwald conducted presentations and meetings which Ms. Sievers attended in which Ms. Steuerwald talked about her religious beliefs. PI. Add. Facts ¶¶ 922, 928. Marketing Director, Gregg Johnston, held a branch-manager meeting which Ms. Sievers attended in which he used the Bible, and he gave the attendees a book that related to the Bible. Human Resources Director Pyatt also conducted meetings at which he injected religious topics. So did Johnny Garrison, one of Preferred’s chaplains who also conducted devotions. PI. Add. Facts ¶¶ 924, 925, 926. As a branch manager, Sondra Siev-ers was expected to attend all branch meetings. PI. Add. Facts ¶ 927.
Ms. Sievers was uncomfortable attending some meetings. At one meeting, Ms. Steuerwald discussed her visit to Cuba, during which she distributed Bibles to Cubans. Ms. Sievers was uncomfortable because she did not expect to hear about passing out Bibles in a business meeting. Def. Facts, ¶¶ 88-90; PI. Add. Facts ¶ 928. At the same time, she felt excluded or marginalized by not being invited to participate in certain events related to business. She felt slighted that Jackie Steuer-wald did not invite her to attend a prayer meeting at Ms. Steuerwald’s home. She also felt slighted that she was not invited to attend a religious video showing at the Vincennes office. Ms. Sievers thought these exclusions revealed that Ms. Steuer-wald did not believe that she fit in at Preferred. PI. Add. Facts ¶ 982, 933.
b.
Events Leading to Ms. Sievers’ Demotion and Discharge.
Ms. Sievers’ first performance evaluation was at the end of her first six months. Her supervisor at the time, Annette Dodd, identified concerns about her performance, including comments that she at times appeared “too good to learn from her subordinates,” and that she did not appear focused at work. Def. Facts ¶ 93. Thereafter, at her annual evaluation, Ms. Sievers’ new supervisor, Ann Parker, observed that Ms. Sievers appeared to have undergone a change in her attitude because she was taking a more positive and progressive approach to problems. Def. Facts ¶ 94. Indeed, on her annual evaluation of June 27, 1991, Ms. Sievers received ratings of 7, 8, 9, or 10 in 30 categories. Ratings of “7” or “8” mean “consistently over achieves” and ratings of “9” or “10” mean “outstanding.” PI. Add. Facts ¶¶ 937, 938. On her last review before her promotion to Vincennes, it was noted that Ms. Sievers needed to improve the timeliness of “difficult” personnel evaluations of her subordinates. Def. Facts ¶ 95.
In Ms. Sievers performance evaluation for May 1994, Ann Parker noted that there had been some hard feelings in the Vin-cennes office relating to Ms. Sievers management style, that Ms. Sievers needed to work on developing a “softer, less controlling ‘people side,’ ” and that she needed to be “more specific” in her communications. Two employees transferred to Lawrence-ville ostensibly because of Ms. Sievers approach to managing the Vincennes branch. Def. Facts ¶¶ 96, 97.
On her May 1995 evaluation, Ms. Siev-ers received a “2.3” out of “3”; “3” was the highest possible rating. Def. Facts
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¶ 98. Before writing up the May 1995 evaluation, Ann Parker sent out surveys to people in the office and field staff. Ms. Parker does not remember receiving any negative responses from these surveys regarding Ms. Sievers’ work performance. Ms. Parker, who served as Ms. Sievers’ supervisor until November 1995, thought Ms. Sievers was doing a good job and was working hard at being a good leader and manager.
Ms. Parker had been instructed in a management meeting to include “trust in the Lord” as part of the employee evaluation process. Accordingly, her May 1995 evaluation of Ms. Sievers included a section addressing Preferred’s values, and Ms. Parker wrote the words “in the Lord” next to the value of “trust.” PI. Add. Facts ¶¶ 943, 944, 946; Def. Facts ¶ 99. The “trust in. the lord” reference came from Preferred’s “behavior tags.” For the value “Trust in the Lord and not your own understanding,” the related behavior, tags are “assured reliance,” “constant verbal expression of faith,” and “positive response to negative situations.” Preferred managers were expected to comply with the behavior tags. PI. Add. Facts ¶¶ 945-948.
On October 24, 1995, Ms. Steuerwald conducted a “Values Presentation” at Preferred’s Vincennes branch. During the meeting, Ms. Steuerwald shared how God had changed her life and asked each of the participants to share how they had come to Jesus Christ. Ms. Sievers was uncomfortable with the question because she never had a “big conversion” and knew that Ms. Steuerwald’s perception of how one becomes a Christian was different from hers. In her response to Ms. Steuerwald’s query, Ms. Sievers stated that she was very fortunate to have been born into and raised by a Catholic family and that God had always been a part of her life. At the meeting, Sherry Stute also talked about joining a Catholic church and becoming Catholic. Ms. Sievers was uncomfortable with this meeting. She felt that it involved sharing personal information and she did not believe Ms. Steuerwald’s past sins were any of her concern; additionally, she felt that Ms. Steuerwald was putting people on the spot to talk about their personal relationships with God. Def. Facts ¶¶ 112— 116; PI. Add. Facts ¶ 972.
On November 2, 1995, at a breakfast meeting in Vincennes with Chuck Harrington and the branch managers for the southern branches, Ms. Steuerwald stated that if her managers were not where they should be spiritually, they should resign. Ms. Sievers believed that Ms. Steuerwald was looking directly at her when she made this remark. After making the comment that if her managers were not where they should be spiritually, they should resign, Jackie Steuerwald said: “I have done this with my top management people, and your area director, Ann Parker, has resigned.” The next day, Ms. Sievers spoke with Ms. Steuerwald for two hours by phone about this statement, because Ms. Sievers interpreted the remark as directed at her. She told Ms. Steuerwald that she, too, had a personal experience of God, to which Ms. Steuerwald responded: “Well, you know, you’ve never said this to me before.” Ms. Sievers was offended by Ms. Steuerwald’s response because she thought it was none of her business. Ms. Sievers believed she had to make some profession of faith to Ms. Steuerwald in order to keep her job. Def. Facts ¶¶ 117-119; PI. Add. Facts ¶¶ 975-978.
In September and October 1995, Preferred’s management team developed a survey relating to employee satisfaction. Entitled “Your Opinion Counts,” the survey covered a number of areas, including working conditions, training, compensation, and advancement opportunities. It also included the question: “Are the Com
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pany’s Values actively promoted and modeled by supervisors and managers?” And the request: “Please make any other comments or suggestions that you believe would help Preferred be more effective and be a better place to work and serve the Lord and our customers,” providing space for comments. Def. Facts ¶ 108, 109; Pl. Add. Facts ¶¶ 962, 963.
Human Resources director Mike Pyatt distributed the survey to all of the employees-in the Vincennes branch on October 25, 1995. Def. Facts ¶ 111. As he did so, he was asked by an employee what would happen as a result of the survey. Mr. Pyatt responded that “they were looking at all the managers and if they weren’t where they thought they should be, there would be changes made.” Pl. Add. Facts ¶¶ 965, 966.
Fifty-nine surveys were given out. Thirty-four employees responded. Def. Facts ¶ 123. Some of the responses were negative with respect to Ms. Sievers. Def. Facts ¶ 124. The negative responses included: (1) “We have lost a lot of very good, kind, caring office and field staff because of the branch manager and it sure is a shame;” (2) “Sondra does not respect our opinion. If we voice our opinion she will usually disagree and then she will be angry”; (3) “Sondra has us all very unhappy with her lack of responsibility, caring or understanding”; (4) “Sondra does not like others, is either [sic] revengeful with field staff, clients and families”; and (5) “If a person isn’t liked or if a person does a job well, branch manager will do anything to create problems for the person.” Def. Facts ¶ 125. These comments appeared on three of the thirty-four surveys returned to Mr. Pyatt. Pl. Resp. to Def. Facts ¶ 125.
After receiving the results of the survey, on November 14, 1995, Ms. Steuerwald and Mr. Pyatt went to Vincennes to inform Ms. Sievers of her demotion. Def. Facts ¶ 127. Ms. Sievers met with Mr. Pyatt who addressed the survey results and told Ms. Sievers that she would be removed from her position, placed in the Leader in the Making program with Nellie Foster, and re-evaluated by December 31, 1995. He also gave Ms. Sievers three documents. The first outlined the “qualifications” of a Leader in the Making as (1) having a teachable spirit, (2) having love for one another, (3) honoring others above self; (4) being approachable; (5) willing to ask others for help and advice; and (6) willing to invest in others. The second, entitled “Confess-Repent-Turn,” outlined what Ms. Sievers needed to accomplish by December 31, including (1) restoring broken relationships with Cherie Deem, referral sources, patients and staff; (2) submitting to authority; (3) regaining trust and respect of the staff and community; and (4) consistently walking in a blameless way to be above reproach. The third document was called “Characteristics of Broken People Prepared for Revival.” Def. Facts ¶¶ 133-136. After the meeting, Mr. Pyatt told Ms. Sievers to take three days off and pray and think about things. Def. Facts ¶ 138 and Pl. Resp.
Regarding leadership training, Nellie Foster, Preferred’s training and development manager and also a minister, had developed the “Leader in the Making” program discussed earlier; the program included twenty-four lessons and Ms. Foster was going to customize a training program for Ms. Sievers’ circumstances. Def. Facts ¶¶ 127, 128. The customized training involved meetings between Ms. Sievers and Ms. Foster on December 5 and 6, 1995.
The December 5 meeting was religiously-oriented. Pl. Add. Facts ¶¶ 1018, 1019. At the December 6 meeting, Ms. Foster presented the “Lordship Ladder” to Ms. Sievers. Ms. Foster asked Ms. Sievers where she was on that ladder, to which
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Ms. Sievers responded, “Well, I’m certainly not on the sixth step,” signifying a life filled with peace. Def. Facts ¶¶ 166, 167. Ms. Foster then asked Ms. Sievers: ‘What was the last sin you committed?” and “What was the last thing you asked God forgiveness for?” Ms. Sievers responded, “I am a Catholic, and I discuss my sins with my priest,” and began crying. Def. Facts ¶¶ 168, 169. Ms. Foster took Ms. Sievers’ hand and asked Ms. Sievers: “Is it okay if I pray over you?” Ms. Sievers testified that she was “totally offended” at the suggestion that Ms. Foster pray over her, but acquiesced only because she “was already in such hot water with my job.” Def. Facts ¶¶ 170,171.
At the December 6 meeting, Ms. Foster told Ms. Sievers that if it were she, she would quit. Ms. Sievers told her that she did not intend to quit. PI. Add. Facts ¶¶ 1023, 1024. Ms. Foster concluded that Ms. Sievers was so devastated by the survey results and so torn by the damaged relationships in the office that it would have been unfair to put Ms. Sievers back in her old position. Def. Facts ¶¶ 174, 175. Accordingly, Ms. Foster told Ms. Steuer-wald that Ms. Sievers was not a candidate for leadership training. Def. Facts ¶ 178. Ms. Steuerwald decided not to return Ms. Sievers to the branch manager position. Instead, she offered her a quality assurance position. Def. Facts ¶¶ 179,180.
On December 7, 1995, Ms. Sievers met with Ms. Foster, Darlene Wright (personnel director for the southern branches), and Sue Klein. During this meeting, Ms. Foster informed Ms. Sievers that she would not be reinstated to the branch manager position, but that the company was offering her a position in quality assurance. She was also informed that Sue Klein would become the new branch manager at Vincennes. The following week, Ms. Sievers’ demotion was formalized in a meeting with Ms. Klein, Ms. Wright, and Mr. Pyatt. Ms. Sievers accepted the quality assurance position at a reduced rate of pay. Her performance in the quality assurance position was always satisfactory. Def. Facts ¶¶ 181-184; PI. Add. Facts ¶¶ 1035,1039.
On January 31, 1995, Ms. Sievers’ attorney, L. Edward Cummings, wrote a letter to Ms. Steuerwald questioning whether religion had played a part in Ms. Sievers’ demotion. The letter read in part:
There was no secret ... that [Sondra Sievers] was a practicing Catholic and was not comfortable with some or even much of the religious materials and indoctrination which was provided to your employees. When you had a discussion with her critical of her performance, the materials provided her were clearly religious telling her to confess and repent. Subsequently, she was placed in a program, Leader in the Making, in which she sincerely attempted to perform to your and your company’s expectations so that she could return to her position as manager. As you know, the entire focus of the “Leader in the Making” was religious and her success or lack of success in the program related to how she characterized her relationship with Jesus Christ. She and Ms. Foster had a particular discussion involving something called the Lordship Ladder which was not to Ms. Foster’s satisfaction and the following day Ms. Sievers learned that she was no longer going to be returned to her position as branch manager.
Def. Facts, ¶ 185; PI. Add. Facts ¶ 863.
Slightly more than a month later, on March 8, 1996, Ms. Steuerwald terminated Ms. Sievers at a meeting which Mr. Pyatt also attended. Ms. Steuerwald opened the meeting by saying to Ms. Sievers: “I understand that you have some questions about your demotion and that you feel it
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has to do with religious discrimination.” Pl. Add. Facts ¶ 1052. The parties do not, of course, agree as to the reasons for Ms. Sievers’ termination. Preferred argues that the discharge was performance related. The EEOC argues that it was based on Ms. Sievers’ failure to conform to Ms. Steuerwald’s religious views. We defer our discussion of the underlying facts until the analysis portion of this entry.
3.
Ellen Blice.
a.
Background.
Ellen Blice began working at Preferred’s Vincennes facility in April 1994. She was discharged on February 14, 1996. Def. Facts ¶¶ 199, 269; PI. Add. Facts ¶ 1002.
At the time of her hire, Ms. Blice had been a Registered Nurse for less than a year. She had worked as a student nurse extern in the emergency room at Wellborn Baptist Hospital from December 1992 to May 1993 and from then until October 1993 as a graduate nurse in Wellborn’s emergency room performing the duties of a registered nurse. On October 31, 1993, Ms. Blice received her license and became a RN. From October 31, 1993 until mid-April 1994, Ms. Blice worked as a registered nurse at Wellborn. At the time of her hire, Ms. Blice had not had home health care experience. Def. Facts and PI. Resp. ¶ 205. Ms. Blice received positive six-month and one-year performance evaluations prepared by Ms. Burke. Def. Facts ¶ 206.
As a field nurse, Ms. Blice was responsible for coordinating total client care, which included conducting the initial assessment, determining what other services are appropriate
(e.g.,
home health aids, therapists), and coordinating the client’s eventual discharge. To qualify for Medicare, a patient must have a skilled nursing need and must be homebound. Skilled nursing needs include the need for instruction from nurses on how patients were to care for themselves, monitoring the patient’s medication needs, and watching for changes in the patient’s condition. Def. Facts ¶¶ 210-212.
Ms. Blice was a life-long Catholic. During her interview with Darlene Wright, Ms. Wright, personnel director for the southern branches, informed Ms. Blice that Preferred was a Christian company, but did not discuss religion on a personal level or ask Ms. Blice about her religion. Ms. Blice also interviewed with Barb Burke, who did not mention religion at all. Def. Facts ¶¶ 196, 199-203. Ms. Burke offered Ms. Blice a position and Ms. Blice accepted. Def. Facts ¶ 204.
Although Ms. Blice expressed no offense about Preferred’s Christian values and mission statement, she was uncomfortable with management’s persistent use of prayer. She asked Sue Klein not to pray before giving her answers to questions of a professional nature. She also complained to another employee that she didn’t need Sue Klein’s prayers. PI. Resp. to Def. Facts ¶ 215. During the week preceding her termination on February 14, 1996, Ms. Blice told Sue Klein six times not to pray over her all the time. PI. Add. Facts ¶ 1076.
Ms. Blice thought that it was inappropriate to have religiously-oriented documents placed in her mailbox and was offended by receiving such documents at work. PI. Add. Facts ¶¶ 1078, 1079; Def. Facts ¶ 229. Ms. Blice testified that on several occasions she received documents relating to religion, broken or unbroken spirits, Psalms, scriptures, and prayers. Def. Facts and PI. Resp. ¶ 232. Although Ms. Blice routinely discarded the materials, she told Ms. Klein that she did not want to receive such religious materials in her mailbox. She said: “I don’t need this stuff in my mailbox because I already know the
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truth.” Def. Facts and Pl. Resp. ¶ 231; Pl. Add. Facts ¶ 1080 and Def. Resp. Ms. Blice continued to receive the religious materials. Pl. Add. Facts ¶ 1081.
Additionally, there was a prayer before each of the meetings that Jackie Steuer-wald conducted. During a meeting called Home Care 101, Ms. Steuerwald asked a series of questions and gave prizes to the individual who was the first to answer correctly. The correct answers to the questions at the Home Care 101 meeting usually were “Jesus,” “God” or “the Bible.” Ms. Blice testified that she was uncomfortable at the meeting. She thought it was a waste of time because Ms. Steuerwald spent too much time talking about religion and not enough about home care. Pl. Add. Facts ¶¶ 1068-1072; Def. Facts ¶ 219, 221.
Similarly, Ms. Blice understood that devotions at the Vincennes facility were optional during Sondra Sievers’ management, but that, after Sue Klein became acting branch manager, Ms. Klein told her that she had to be at devotions because she needed to learn to be more humble. Ms. Blice did not attend devotions because they were contrary to her religious beliefs. Pl. Add. Facts ¶ 1082, 1083. On the day that she was terminated, Ms. Blice had been told to go to devotions. Pl. Resp. to Def. Facts ¶ 216.
Ms. Blice perceived a change in the atmosphere at work after Sondra Sievers was demoted and Sue Klein was promoted to branch manager in November 1995. Prior to becoming branch manager, Sue Klein was complimentary of Ms. Blice’s work. After Ms. Klein and Karen Lemons became managers, the atmosphere in the office became more overtly religious. Pl. Add. Facts ¶¶ 1073, 1074. Before Sue Klein assumed the interim branch manager role, she had occasionally invited Ms. Blice to attend her church. Ms. Blice always declined, but was not offended by the offers, nor did she feel any pressure to accept them. Ms. Blice described her relationship with Ms. Klein before Ms. Klein’s promotion as “great.” After Ms. Klein assumed the managership, however, Ms. Klein always prayed before and after discussing any problem. When Ms. Blice was part of a group and the group was praying, she “just kinda sat there and let them pray.” Def. Facts ¶¶ 222-226; Pl. Add. Facts ¶¶ 1075.
Ms. Klein told Ms. Blice that she needed more prayer in her life. Def. Facts and Pl. Resp. ¶ 234. She also told Ms. Blice that “attending devotions would be good for her to learn to become more humble” and that Ms. Blice had to be at devotions on Tuesday because she needed to learn to be more humble. Def. Facts and Pl. Resp. ¶ 235. Nevertheless, Ms. Blice continued to avoid devotions because they were contrary to her beliefs. Def. Facts ¶ 236; Pl. Add. Facts ¶ 1083.
b.
Events Leading to Ms. Blice’s Termination.
On a Friday afternoon in November 1995, Ms. Blice received an order from Dr. Shelton to remove a patient’s catheter and to reinsert it some time over the weekend. Ms. Blice paged Donna Drew, who was the on-call nurse for the weekend. As the on-call nurse, Ms. Drew was supposed to visit patients on an as-needed basis over the weekend. Ms. Drew did not respond to Ms. Blice’s page. When Ms. Drew did not respond, Ms. Blice informed Karen Lemons, her supervisor, that she needed to see Ms. Drew. Ms. Lemons indicated that Ms. Drew had left for the day. Ms. Blice informed Ms. Lemons of the change in the patient’s condition, and Ms. Lemons said she would inform Ms. Drew of the change.
Ms. Drew received a page at 9:57 a.m. concerning the catheter patient. Ms. Drew spoke with Dr. Shelton, at 10:08. Dr. Shelton told Ms. Drew that he left
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specific orders to replace the catheter if the client was unable to void. Ms. Drew talked to Ms. Blice about the situation by 11:27 a.m. She told Ms. Blice that she was with her daughter at a sporting event and could not leave to take care of the patient right then. Ms. Drew did not go to the patient’s house to replace the catheter until 1:30 p.m. Sue Klein, the Acting Branch Manager, believes that the optimal response would have been for Donna Drew to replace the catheter immediately. PI. Add. Facts, ¶¶ 1084-1099; Def. Facts ¶¶ 238-252.
Throughout the morning, the patient did not complain of any discomfort and a home health aid was present in the patient’s home. Def. Facts ¶ 253. The patient was not pleased with Ms. Drew when she arrived; during Ms. Blice’s next regularly scheduled visit, the patient asked that Ms. Drew not come back. Def. Facts ¶ 257.
The following Monday morning, Sue Klein, Ellen Blice and Karen Lemons met. Ms. Klein and Ms. Lemons instructed Ms. Blice to be certain to make direct contact with the on-call nurse in the future whenever a patient’s condition changed. Although Ms. Blice did not accept any responsibility for the catheter incident because she felt she had acted appropriately by informing the nursing supervisor, she apologized and indicated that she would give proper notification in the future.
Toward the end of Ms. Blice’s employment, she attended a meeting with Sue Klein, Donna Drew, Karen Lemons, and Terry Jennings, At the end of the meeting, Ms. Blice was encouraged to be more humble, to look to God and things would be better and she wouldn’t have as much chaos in her life. On February 8, 1996, Ms. Blice received a formal verbal warning about the catheter incident. Donna Drew did not receive a formal verbal warning, nor was any corrective action form was put in her file regarding her role in the incident. PI. Add. Facts ¶¶ 1100-1105; Def. Facts ¶¶ 255, 256.
In early February 1996, a surveyor from the State audited some of Preferred’s client charts based on a complaint received from the client involved in the catheter incident. As a result of the survey, Preferred received a deficiency for lack of communication in the area of “coordinating client care.” The state surveyor had found two charts where the primary nurse had failed to coordinate with the on-call nurse; one chart involved the catheter matter where Ms. Blice was the primary nurse, while the other chart, on which Ms. Drew was the primary nurse, involved a failure to communicate a medication change. In response to the State’s deficiency, Preferred was required to prepare a plan of correction. The plan included counseling both primary nurses involved on the appropriate procedure for communicating changes in a client’s condition. As the primary nurse involved in the catheter incident, Ms. Blice received a verbal warning for her part in the miscommunication. Def. Facts ¶¶ 262-267.
Ms. Drew said she was not at fault over the incident. She did not receive any formal discipline and was not counseled about the incident until February 16, 1996, two days after Ms. Blice was terminated. PI. Add. Facts ¶¶ 1104-1105.
Ms. Blice asked to speak with Ms. Steu-erwald about the verbal warning. Ms. Steuerwald came to Vincennes on February 14, 1996. At devotions that day, Ms. Steuerwald handed Ms. Blice a song sheet for the song beginning “He is a mighty God” and said “You need to sing this.” Ms. Blice did not sing the song. Ms. Steuerwald stared at Ms. Blice for the remainder of the devotions period. Def. Facts ¶¶ 269-272; PI. Add. Facts ¶¶1111-1116.
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Following the conclusion of the devotions, Ms. Blice met with Ms. Steuerwald, Sue Klein, and Terry Jennings. Sue Klein opened the meeting with prayer. Ms. Blice explained her disagreement with the verbal warning she had received. She also said that the state auditor had not seen the whole truth regarding the incident. Ms. Klein acknowledged that management had not shown the state auditor all of the information regarding the incident. Def. Facts ¶¶ 273, 274 (and Pl. Resp.), 275 (and Pl. Resp.).
Preferred states that Ms. Steuerwald discovered during this meeting of February 14 that Ms. Blice had discharged a patient prematurely when the patient had been at risk for congestive heart failure. Ms. Steuerwald states that, had she known the facts surrounding the catheter patient earlier, she would have discharged Ms. Blice when she found out. Def. Facts ¶¶ 280-301. Preferred asserts that Ms. Blice was discharged because of Ms. Klein’s and Ms. Steuerwald’s assessment of her “performance” and “attitude.” Def. Facts ¶ 301, n. 4. Ms. Blice was terminated that day.
4.
Suzanne Elder
a.
Background.
Ms. Elder began work at Preferred’s Lawrenceville, Illinois facility in February 1993. She interviewed with Darlene Wright and Sondra Sievers. Religion was not discussed during her interviews. During her orientation, Ms. Elder reviewed the “Transfiguration of Preferred,” which she thought was “a joke” and that “it was kind of silly” to hand it out. Def. Facts ¶¶ 306, 309-313. She thought handing out the Transfiguration was unnecessary and inappropriate. Pl. Add. Facts ¶ 1127.
Ms. Elder’s initial performance evaluation was good. When Ms. Sievers was promoted to the Vincennes facility, Ann Parker offered Ms. Elder the branch manager position at Lawrenceville, but Ms. Elder declined. Def. Facts ¶ 317 and Pl. Resp. She gave several reasons for declining, one of which was, according to Preferred, “having to allow devotions in the office and to attend meetings at the corporate office that would be opened with prayer.” Pl. Add. Facts ¶ 1128 and Def. Reply.
In describing the branch manager position, Ann Parker told Ms. Elder that, as a branch manager, she would have to start having devotions in the Lawrenceville office. Pl. Add. Facts ¶ 1129. She also told Ms. Elder that, as a branch manager, when she visited the corporate office there would be devotions and prayer before meetings. Pl. Add. Facts ¶ 1130. Ms. Elder did not want to attend devotions because she thought it was inappropriate. It was no secret in the Lawrenceville office that Sondra Sievers and Suzanne Elder went to the same Catholic church. Pl. Add. Facts ¶¶ 1132,1133.
Terry Jennings ultimately became the branch manager of the Lawrenceville office in July 1993, at which time devotions at Lawrenceville began. Ms. Jennings prepared Ms. Elder’s six-month performance evaluation, which was positive. Def. Facts ¶¶318, 319. Pl. Add. Facts ¶ 1131.
After Ms. Jennings took over the branch operations, conflict developed between her and Ms. Elder. Ms. Jennings testified that she perceived Ms. Elder as being rude and disorganized. Ms. Elder thought that Ms. Jennings criticized her for everything from how she sighed, to when she went to lunch, to how she acted on the telephone, to how she interacted with the field nurses. Ms. Elder believes Ms. Jennings treated her in this manner because Ms. Elder is Catholic, although she never heard Ms. Jennings say anything negative about Catholics. Def. Facts ¶¶ 322-326.
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Ms. Elder testified that Darlene Wright was called in “to mediate the problems [between Ms. Elder and Ms. Jennings] and make me change.” Ms. Wright told Ms. Elder at these meetings to read the Bible and once attempted to conduct a laying of hands on her. Def. Facts and PI. Resp. ¶ 328. Ms. Wright prayed at the start of each meeting. Def. Facts and PI. Resp. ¶¶ 329. Ms. Wright discussed with Ms. Elder how to approach Ms. Jennings with a more open communication style and to be aware of how her body language was perceived. Ms. Wright also gave Ms. Elder some books to read on personality profiles and told Ms. Elder to read the Bible. Ms. Wright counseled her to show a constant verbal expression of her faith. Def. Facts and PL Resp. ¶¶ 330-332.
Sometime after this meeting, Ms. Wright met with Ms. Elder and Ms. Jennings in an effort to resolve the conflict between them. Def. Facts ¶ 333. Ms. Elder testified that “supposedly the conflict was all on my fault, on my side, that I was the reason for the conflict and I was the one who had to change.” PI. Resp. to Def. Facts ¶ 333. Ms. Jennings presented Ms. Elder with a list of goals to meet by February 17, 1994. The goals included: (1) improving communications; (2) meeting with Ms. Jennings daily to discuss agendas; (3) following office protocols established by the branch manager; (4) limiting telephone calls to the corporate office to a designated time during the day; (5) focusing on time management; (6) communicating events to the appropriate staff person; and (7) displaying courtesy to other staff members. Ms. Elder thought these goals were unnecessary and were based on isolated incidents rather than patterns of behavior. Some of the goals she considered completely groundless. Def. Facts ¶ 335-337.
Ms. Elder met several times with Ms. Wright one-on-one. Ms. Wright started each with prayer. During one of these meetings, Ms. Wright asked Ms. Elder if she had a Bible and said that Ms. Elder should read the Bible because it would help her become a better person. PI. Add. Facts ¶¶ 1144-1145. When Ms. Wright told Ms. Elder that she needed to show constant verbal expression of her faith, Ms. Elder felt that it was none of Ms. Wright’s business how she presented herself in her religious beliefs. At one of these meetings Ms. Wright said that laying on of hands would make Ms. Elder feel better. Ms. Elder was upset by the suggestion to do laying on of hands because it is contrary to her beliefs. PI. Add. Facts ¶¶ 1146-1147.
Ms. Elder transferred from Lawrence-ville to Vincennes prior to February 14, 1994. Def. Facts ¶ 338. In Vincennes, Ms. Elder was primarily a field nurse, but performed quality assurance work as well. She did not experience harassment or religious discrimination in Vincennes while Sondra Sievers was her branch manager. Def. Facts ¶¶ 339, 340.
On July 22, 1994, Ms. Elder became Preferred’s liaison to the Lodge of the Wabash, which is an assisted living community located in Vincennes. In this role, Ms. Elder was responsible for working with the management at the Lodge and overseeing Preferred’s nurses and aides who would make visits to Preferred clients housed at the Lodge. The Lodge was a major referral source for Preferred. Def. Facts ¶¶ 341, 342, 343.
While at Vincennes, Ms. Elder attended mandatory quality assurance (QA) nurses meetings that would be opened with prayer. Def. Facts ¶¶ 344; PI. Add. Facts ¶ 1132. During the prayer, Ms. Elder would “zone out [and] do paperwork.” Def. Facts ¶ 345. She did not complain about prayer at meetings because she believed she had had enough harassment in
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the Lawrenceville office and did not want to bring any more scrutiny on herself. Pl. Add. Facts ¶ 1155. Ms. Elder also attended a mandatory values presentation conducted by Jackie Steuerwald; she also signed the Values Statement. Def. Facts ¶ 346; Pl. Add. Facts ¶¶ 1156, 1158. Ms. Elder objected to the value that required “subordination of self-interest to company interest,” because her nursing training had taught her that her interests may not always be the same as the company’s; she might be directed to carry out an improper order. Def. Facts ¶ 347. She also objected to the part of the Mission and Values Statement in which there were specific references to places in the Bible and that these Biblical definitions were the company’s characterization of what the value meant. Pl. Add. Facts ¶ 1157. Ms. Elder testified that she signed the Mission and Values Statement because she wanted to keep her job. Pl. Add. Facts ¶ 1158. Ms. Elder attended an introduction to home care meeting at the corporate office at which passages of scripture were read. Def. Facts ¶ 348. In addition, she attended a Home Care 101 seminar at which Biblical Scripture was quoted throughout the seminar. A client care coordinator at the Home Care 101 seminar told the audience that everyone in the company had a faith in Christ. Pl. Add. Facts ¶¶ 1159, 1160. Ms. Elder testified that she thought the references to scripture were “unnecessary in a business atmosphere.” Def. Facts ¶ 349.
While she was working in the Vincennes office, Ms. Elder heard during a nurses meeting that they should work hard because Jesus worked hard. Pl. Add. Facts ¶¶ 1161. At Vincennes, Ms. Elder did not attend devotions and was not disciplined for not attending. She was asked, however, why she wasn’t attending. Def. Facts ¶ 350; Pl. Add. Facts ¶ 1162. Ms. Elder received unwanted religious materials in her mailbox; she threw the materials away. Def. Facts ¶ 351; Pl. Add. Facts ¶ 1163.
When Sue Klein was working in QA, she often brought up religion to Ms. Elder. She told Ms. Elder that Ms. Elder’s religion does not believe that one can pray for people after they die. She told Ms. Elder that Mary (the Mother of Jesus) is just a person in the Bible. And she talked about being saved. Ms. Elder told Ms. Klein that she did not want to hear about that. Pl. Add. Facts ¶¶ 1164-1168.
During the time she worked in the Vin-cennes office, Ms. Elder was given a copy of the document, “Characteristics of Broken People Prepared for Revival.” Various items on the bulletin board in the Vincennes office had religious references on them. Pl. Add. Facts, ¶¶ 1171, 1172.
b.
Ms. Elder Resigns from Employment.
In October 1995, around the time at which Preferred conducted its “Your Opinion Counts” survey in the Vincennes office, Ms. Elder applied for a position as the director of home health at Crawford Memorial Hospital in Illinois. After Ellen Bliee and Sondra Sievers had been fired in February and March 1996, Ms. Elder perceived a general unrest in the office, because people were concerned for their jobs. On March 8, 1996, Ms. Elder received her performance evaluation from Karen Lemons, who was her supervisor at that time. On this evaluation, Ms. Lemons noted that Ms. Elder had a “good working relationship” with Lodge of the Wabash. Ms. Elder received a “3.3” rating; “5” was the highest possible. She was also scheduled for a pay raise effective April 3, 1996. Def. Facts ¶¶ 352, 354-357, 360.
Ms. Elder resigned her employment with Preferred on March 18, 1996. Before she resigned, she accepted the position at Crawford Memorial Hospital, which paid
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more than her position at Preferred. Pri- or to Ms. Elder’s resignation but after Ms. Blice’s discharge, Sue Thiakodimitris (“Sue T.”) spoke with the Lodge’s director of nursing and administrator to see if there were any concerns with PHHC or its staff, and in particular Ms. Blice. Def. Facts ¶¶ 361. Ms. Elder resigned because she did not feel welcome in the office and because Preferred employee Sue Thiako-dimitris had gone to the Lodge to inquire about herself and Ellen Blice and she believed that Ms. Thiakodimitris was trying to dig up dirt on her. Def. Facts ¶¶ 361-364.
Ms. Elder believes that Preferred wanted to fire her because her religious views did not compare favorably with those of Sue Klein, who was the new branch manager at Vincennes. Def. Facts ¶ 366. Julie Guy, from the Lodge of the Wabash, took Ms. Elder into a bathroom inside one of the rooms on the Lodge’s premises, closed the door and told Ms. Elder that: “They [Preferred] were looking for dirt on Ellen and on you.” Ms. Guy asked Ms. Elder if Suzanne was
next
to be fired. PI. Add. Facts, ¶¶ 1173,1174.
6
5.
Sherry Stute.
Sherry Stute applied for a Nursing Supervisor position at Preferred in July
1995.
Shortly before, she had converted to Catholicism. Ms. Stute was attracted by Preferred’s logo, which she recognized as a Christian symbol. Ms. Stute spent much time in prayer before submitting her application and resume. The position for which Ms. Stute applied involved assisting in opening a satellite office in Evansville which would become an independent branch once it became sufficiently stable and financially sound. Def. Facts ¶¶ 370, 372-375.
Ms. Stute initially interviewed with Darlene Wright. She told Ms. Wright that she was active in her church and wanted to become more so, that she hoped to read the Bible all the way through within the next year, that one of her strengths was her faith in God, and that she thought God had brought her to Preferred for the interview. Ms. Wright explained the history of Preferred to Ms. Stute, informed her that it was a Christian organization, and shared with her some of her own strong commitment to religion. Def. Facts ¶¶ 376-378. She also told Ms. Stute that she and Jackie Steuerwald had prayed in a closet together at some point because they didn’t know how the other people in the office would receive the praying. PI. Add. Facts ¶¶ 1183-1185.
After meeting with Ms. Wright, Ms. Stute met with Sondra Sievers, then branch manager of the Vincennes office, and Cherie Deem, who was the nursing supervisor for the Vincennes branch. Ms. Stute also interviewed with Chaplain Chuck Harrington. Darlene Wright phoned Ms. Stute and offered her the position of Nursing Supervisor and Ms. Stute accepted. This job represented Ms. State’s first experience with Medicare, Medicaid, home health care, and all of the associated administrative functions, such as regulatory compliance and paperwork. Def. Facts ¶ 380-382; PL Add. Facts ¶ 1188.
Sondra Sievers served as Ms. State’s supervisor until Ms. Sievers was removed
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as branch manager in November 1995. When Terry Jennings succeeded Ann Parker as the area administrator in December 1995, Ms. Jennings served as Ms. State’s supervisor. Meanwhile, Sue Klein was serving as interim branch manager and prepared Ms. State’s three month evaluation. On it, Ms. Klein noted that Ms. State needed to “increase her knowledge of home care and this company” and learn the Choice program. Ms. State acknowledged that she needed to expand her understanding of Medicare, Medicaid and the accompanying regulations. Ms. State identified as her own developmental goals: (1) increase her knowledge; (2) increase the patient base for Evansville; (3) work toward establishing Evansville as an independent branch; and (4) continue to grow in her faith. Def. Facts ¶¶ 383-387. Before Ms. State wrote these goals on the November 7, 1995, evaluation, Ms. Klein told her that her goals needed to be reflective of Sue Klein’s suggestions for improvement.
Any time Ms. State interacted with Ms. Klein, Ms. Klein always made some reference to God and faith. She asked Ms. State whether she wanted to be her prayer partner. Ms. State was uncomfortable when Ms. Klein asked her whether she prayed and read the Bible regarding a drop in the Preferred’s Evansville clientele. When Sondra Sievers had to go to the hospital because of her blood pressure, Ms. Klein said to Ms. State: “if Sondra had been right with God she wouldn’t be having physical problems.” In response, Ms. State asked her whether that meant that all of Preferred’s patients were not right with God. Ms. Klein replied: “Well, that’s why we are there in their lives, so that we can bring them to the Lord before they die.” PI. Add. Facts ¶¶ 1196-1201; Def. Facts ¶ 391, 392.
During a meeting that Ms. State attended, Jackie Steuerwald announced that Nellie Foster was being hired as an independent contractor to assist in their spiritual growth. Ms. Foster conducted seminars and in-service presentations. “Leader in the Making” presentations, which came under Ms. Foster’s auspices, always began with prayer. Ms. State attended Ms. Foster’s presentation on “Big People see the Big Picture,” a religious presentation. Although Ms. State did not find the content offensive, she found it offensive that such presentations were mandatory in the work place. One of the categories on the self-assessment forms used during the in-service presentations was on studying the Bible. PI. Add. Facts ¶¶1205, 1206, 1208-1212; Def. Facts ¶ 390.
Ms. State received her orientation in August 1995. That day she had lunch with Jackie Steuerwald and Sondra Sievers, during which Ms. Steuerwald stated that Preferred was operated based on the fundamentals of her religious beliefs. Although Ms. State expressed no conflict with Preferred’s mission statement and values, she testified that she thought it “unreasonable to expect us to base our day-to-day activities on the Bible verses that [Preferred management] chose for us.” Ms. State signed the values statement because she felt if she did not do so she would be terminated. Def. Facts ¶¶ 393-395, (and PL Resp.), 396-397.
Ms. State attended a values presentation presented by Jackie Steuerwald on October 24, 1995. During this presentation, Ms. Steuerwald spoke of Preferred’s history, showed a video tape, shared her own religious testimony and asked those in attendance to share how they became Christians. When it was her turn to speak, Ms. State told the group that she had “joined the Catholic Church just prior to coming to Preferred and that [she] was still trying to learn and develop [her] faith.” After various individuals expressed their faith,
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Ms. Steuerwald would say “Amen” or “Praise God.” When Ms. Stute said that she had converted to Catholicism, Ms. Steuerwald had a “devastated” look on her face, her eyes got large, and she looked as if she had been knocked over. After this meeting, Ms. Stute believed that Ms. Steu-erwald’s demeanor toward her changed, which she attributed to having said she was Catholic. Ms. Steuerwald did not interact with her as much; when she did, the interaction lacked the “warm fuzzies” from before. Instead of a “smile” toward her, Ms. Stute perceived in Ms. Steuerwald’s eyes a “blank stare.” Def. Facts ¶¶ 397-400, 402, 403; PI. Add. Facts ¶¶ 1256,1257.
During Ms. Stute’s three-day orientation, Ms. Steuerwald stated that all Preferred employees are working and dedicated, resembling Christ. During the orientation or a management meeting, Ms. Steuerwald presented the company’s organizational “wheel” with Jesus at the center and employees’ names on the spokes radiating outward from it. Ms. Steuerwald told those in attendance how Jesus was the foundation of Preferred and that with the employees providing the care, Preferred would grow and benefit. During the comprehensive orientation that Sherry Stute attended, Ms. Steuerwald said that it was a vision of hers that the conference room at Preferred would some day be a church and that people could come there and pray. PL Add. Facts ¶¶ 1244-1246.
On one occasion when Ms. Stute decided not to attend devotions, Ms. Jennings told her she really ought to appreciate the devotions more because Chaplain Chuck Harrington did a lot of work preparing for them. Ms. Stute took this to mean that she was expected to go to devotions. Ms. Jennings told Ms. Stute that it was mandatory for her and her staff to attend an in-service program on fasting that Chaplain Chuck Harrington was presenting. PI. Add. Facts ¶ 1247 (and Def. Resp.), 1248, 1249.
On February 21, 1996, Preferred hired Wanda Wallace to be the acting branch manager of the Evansville branch. Ms. Wallace had been the area administrator over PMCI, the southern non-Medicare Preferred company, before she had retired in the Fall of 1993. Among her duties, Ms. Wallace was to train Ms. Stute to become the branch manager. Ms. Stute was informed that Ms. Wallace would be training her for that job, although she was also told that she “probably would like working under Wanda so much that [she] would want to stay on as the RN supervisor and ... do the supervisory visits and the home health aide supervision and let Wanda do management.” Preferred asserts that Ms. Stute was not qualified for the branch manager’s position, because she did not have any previous home health experience, and one year of experience was desirable for the position. Def. Facts ¶¶ 404 (and PL. Resp.), 405. The EEOC points out that Darlene Wright knew that Ms. Stute had no prior home health care when she recommended her for the job. And so did branch manager Sondra Siev-ers and nursing supervisor Cherie Deem. When Ms. Stute interviewed with Ms. Wright, she told Ms. Wright about her financial experience; Ms. Wright said that “sounds perfect for what the job we want done in Evansville, because we want someone who is working with finances and understands the bottom line.” Pl. Ad. Facts 1181, 1188, 1191. Ms. Wallace understood her assignment as training Ms. Stute in Medicare and Medicaid regulations, branch operations, coordinating patient care, quality assurance matters, staffing and issues concerning the professional advisory committee. Def. Facts ¶ 407.
Terry Jennings told Ms. Stute that Ms. Wallace was going to train her and that
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she would be working under Wanda’s supervision. She also told Ms. Stute that when the time came, both she and Ms. Wallace could apply for the branch manager position. Def. Facts ¶ 408 and Pl. Resp. Ms. Stute was disappointed when Ms. Wallace was brought in as her trainer, because Ms. Stute thought she would automatically become the branch manager over Evansville once it became an independent branch. Def. Facts ¶ 409. Ms. Stute had been told when she was hired that Preferred was hiring her as RN Supervisor to get the Evansville office operational, but that once it became financially stable enough, the RN supervisor would move into the branch manager position and a new RN Supervisor would be hired. Pl. Add. Facts ¶ 1221. Ms. Stute was never given the opportunity to apply for the branch manager position at Evansville. Pl. Add. Facts ¶ 1223.
Terry Jennings told Ms. Stute that Wanda Wallace and Jackie Steuerwald were very close. She told Ms. Stute that Ms. Steuerwald hired Wanda Wallace — it was her company and she could hire whom she wanted; the Bible says, “obey and support your superiors.” That was what Ms. Jennings was doing and so should Ms. Stute. Pl. Add. Facts ¶ 111227,1228.
In April 1996, Ms. Jennings put together a self-improvement plan for Ms. Stute which included daily Bible readings, daily prayer and a checklist indicating how well Ms. Stute was meeting the company’s values criteria. Wanda Wallace monitored the plan by making an appropriate notation each time Ms. Stute met a goal. Every meeting between Ms. Wallace and Ms. Stute started with prayer. After April 1996, Ms. Wallace often asked Ms. Stute whether she had read her daily scripture. Regardless of Ms. Stute’s answer, Ms. Wallace went to the phone. She would come back after her phone call and say: “Well, Terry says that you need to be doing this, because if you want to move forward ...” After Pl. Add. Facts ¶¶ 1272-1277. Ms. Wallace also brought in a Bible, laid it on Ms. Stute’s desk, and told her that they would be studying this Bible. Ms. Stute responded by saying that she already had a Bible. Def. Facts ¶¶ 411-417 (and Pl. Resp.), 418.
On more than one occasion, Ms. Wallace referred to Ms. Stute as a “wounded spirit” and stated that the Bible says wounded spirits need healing and nurturing. Indeed, Ms. Wallace told Jackie Steuerwald that she thought Ms. Stute was a wounded spirit. She told Ms. Stute that Ms. Steu-erwald agreed with that assessment. Def. Facts ¶ 425 (and Pl. Resp.); Pl. Add. Facts ¶¶ 1293, 1295. One of the topics of the improvement plan developed by Ms. Jennings was how to heal a wounded spirit. Pl. Add. Facts ¶ 1298. Ms. Wallace told Ms. Stute that she needed to study the Bible and pray more to overcome being a wounded spirit. She also asked Ms. Stute if she had confessed her sins. Ms. Stute was insulted by Ms. Wallace classifying her as a wounded spirit. Pl. Add. Facts ¶ 1300.
One day when Ms. Stute had a headache, Ms. Wallace and an Evansville secretary said they would pray for her headache to go away. Ms. Stute acquiesced, whereupon Ms. Wallace and the secretary unexpectedly put their hands on her and prayed for healing. The touching made Ms. Stute feel very uncomfortable and she told Ms. Wallace that she didn’t like people putting their hands on her. Def. Facts ¶ 425 (and Pl. Resp.), 426-430 (and Pl. Resp.). Ms. Wallace responded that she was a firm believer in laying on of hands. Pl. Add. Facts ¶ 1288. Later, Terry Jennings talked to Ms. Stute about the hands on incident and told her that she should have been thankful that Ms. Wallace and the secretary came in to heal her. Pl.
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Add. Facts ¶ 1289. Ms. Stute reiterated that she did not like people putting their hands on her. Ms. Jennings responded by becoming angry and telling Ms. Stute that she had caused Ms. Jennings many headaches since she had been there; she appreciated when people around her cared about her; and Sherry Stute should be lucky that they cared. Pl. Add. Facts ¶ 1291.
' Ms. Wallace also told Ms. Stute that Ms. Stute was a proud person. Pl. Add. Facts ¶ 1233. When intakes for Evansville dropped, Ms. Wallace told Ms. Stute that they should pray for more new patients. Pl. Add. Facts ¶1234. Ms. Wallace brought religious tapes into the office and asked Ms. Stute to listen to them. Pl. Add. Facts ¶ 1236.
After she became area administrator, Ms. Jennings told Ms. Stute that being a Christian company, Preferred didn’t do anything without including a prayer. She told Ms. Stute that she should go to church with Wanda Wallace. She told Ms. Stute that Jackie Steuerwald was looking at her managers spiritually. Pl. Add. Facts ¶¶ 1260-1264. Ms. Stute had not, as directed, signed up to become a prayer partner. Ms. Jennings came into Ms. Stute’s office with the prayer partner form and said “you can’t even sign a piece of paper.” Several times during the last few weeks of Ms. Stute’s employment, Ms. Jennings told her that she was causing Ms. Jennings undue stress and that dealing with Sherry just took all of her energy. One day when Sherry Stute was talking to Terry Jennings on the phone, Terry Jennings told Sherry Stute that Sherry Stute had upset her so, she [Terry] just thought about running in a ditch and killing herself, that having to deal with Sherry Stute was the most stressful thing she had ever done. Pl. Add. Facts ¶¶ 1268-1271.
After the Values Presentation, Ms. Jennings asked Ms. Stute if Catholics prayed before meals, to which Ms. Stute said yes. In another conversation, Ms. Jennings told Ms. Stute that “Catholics don’t believe in the Holy Spirit.” Def. Facts ¶ 433, 434 (and Pl. Resp.), 436 (and Pl. Resp.).
Some time after the Values Presentation, Terry Jennings told Ms. Stute that Catholics were not considered Christians, adding that Ms. Steuerwald had told her that Catholics didn’t believe in the Holy Spirit. Ms. Stute asked in response: “So when a Catholic makes the sign of the cross, what do you think that is?” Ms. Jennings responded that she thought Catholics were making fun of God. During the same conversation, Ms. Jennings said that Catholics have idols other than God. Ms. Jennings also said that Jackie Steuer-wald told her that Catholics keep God in a box in the front of the church. She also told Ms. Stute that Jackie had told her that Catholics were pagans. Pl. Add. Facts ¶¶ 1305-1312. During another conversation, Ms. Jennings told Ms. Stute that she ought to change her religion. Pl. Add. Facts ¶ 1313.
During a managers meeting at the corporate office, those in attendance were told that Bibles were available for them to purchase; they were told Ms. Steuerwald felt that everybody in the company needed a Bible so she encouraged the branch managers or supervisors to purchase them for their staff. Someone referred to the Bibles as being the corporate word. Pl. Add. Facts ¶¶ 1317,1318.
Preferred asserts that, as Ms. Stute’s supervisor, Ms. Jennings was not always pleased with Ms. Stute’s work. Def. Facts ¶¶ 443. Ms. Stute testified, unrebutted, that she was not criticized at Preferred until after she announced at the Values Presentation in October 1995 that she was a Catholic. After that, Ms. Jennings told Ms. Stute to come in, go to her office, keep her mouth shut, and if she had any deal
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ings with anybody in the office, whether with the secretary, the nurses, the home health aides, she was to go to Wanda Wallace and that Ms. Wallace would deal with everybody. Pl. Resp. To Def. Facts ¶ 443; Pl. Add. Facts ¶ 1265,1320.
During the last three weeks of her employment, Ms. Jennings told Ms. Stute that she would not have hired Ms. Stute had she been given the original choice. On May 8, 1996, Ms. Jennings met with Ms. Stute to address Ms. Stute’s handling of some advertising matters, her failure to adhere to certain office procedures, some notes from a patient chart that had come up missing, the manner in which an 800 number was set up without authorization from the corporate office, and Ms. Stute’s organizational skills. The next day, Ms. Stute submitted her resignation letter to Ms. Jennings. Def. Facts ¶¶ 444-448.
6.
Diana DeWester
Diana DeWester began work for Preferred in 1991. Although she was hired as Director of Nursing in the Danville branch, she never worked as a Director of Nursing. Instead, she assisted with the Lafayette office for her first four to six weeks as an employee, and then became the branch manager and nursing supervisor for the newly opened Indianapolis office. Def. Facts ¶¶ 459, 463, 464,
Ms. DeWester grew up Presbyterian, but converted to Catholicism in 1956 when she was 18 year’s old. She considers herself to be a Christian. She perceived Ms. Steuerwald’s religious views as “far-right fundamentalist” and relying on a literal interpretation of the Bible. Ms. DeWester believes that the teachings of the Catholic Church are consistent with a literal interpretation of the Bible. Def. Facts ¶¶ 455, 456. 457, 458 (and Pl. Resp.),
Approximately six weeks into Ms. DeW-ester’s employment, Diane Christian, Preferred’s Northern Area Administrator, told her that Ms. Steuerwald did not think Ms. DeWester would fit in at Preferred because of Ms. DeWester’s “nonbeliefs.” Def. Facts ¶ 465. Ms. Christian told Ms. DeWester to be very, very careful, a statement that Ms. DeWester took as a warning. Pl. Add. Facts ¶¶ 1342, 1343. Shortly after this conversation, Ms. DeWester said at a luncheon Ms. Steuerwald attended that Christians did not have a corner on the “God market,” and that just as there is “more than one way to get to Beech Grove, there is more than one way to get to God.” Def. Facts ¶¶ 465, 466. Ms. Steuerwald appeared to be very angry after Ms. DeW-ester made this comment. Pl. Add. Facts ¶ 1344. Ms. Steuerwald observed that Ms. DeWester’s comment “was new age thinking and it was not allowed at Preferred Home Health Care.” Def. Facts ¶ 468; Pl. Add. Facts ¶ 1345.
Ms. DeWester was the first office employee hired for the Indianapolis office. Becky Seim, who had attended a Catholic church before Jackie Steuerwald pointed her in another spiritual direction, was hired as office manager. Def. Facts ¶¶ 470, 471; Pl. Add. Facts ¶ 1498.
Some employees complained of Ms. DeWester’s leadership of the office. Ms. DeWester believed that because of her attitude toward the religious issues at Preferred, some employees didn’t like her. Def. Facts ¶ 473 and Pl. Resp. Ms. DeWes-ter believed that her approach to devotions created some tension in the office. Devotions were held every Thursday morning. Ms. DeWester did not want everybody to go at the same time; instead, she proposed that half the staff would attend one week and half the next. Several employees objected to her proposal, believing that the office should be closed during devotion time. Def. Facts ¶¶ 474 and Pl. Resp., 476. Ms. Steuerwald and Ms. Christian directed Ms. DeWester to go to devotions
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to show support for Preferred’s values. Def. Facts ¶ 475; Pl. Add. Facts ¶ 1361.
Ms. DeWester does not believe that human beings receive religious visions from God or that evil spirits can be present in the work place. Pl. Add. Facts ¶¶ 1339, 1340. Her problem with Ms. Steuerwald was that she demanded that Ms. DeWester abide by her religious beliefs and that she direct her subordinates to abide by them as well. Pl. Add. Facts ¶ 1347. Ms. Christian told Ms. DeWester that, as far as religious views were concerned, it was Jackie Steuerwald’s way or the highway. Pl. Add. Facts ¶ 1348. Ms. DeWester was expected to present religious memos and posters in meetings. She did not support hanging religious posters in the workplace and she complained to Ms. Christian about the religious bulletins and posters in the work place. Pl. Add. Facts ¶¶ 1356-1358.
On two occasions, Ms. Steuerwald prayed over the phone regarding Ms. DeWester’s brother, who was having surgery, and once for wisdom for an upcoming business meeting. Def. Facts ¶ 478 and Pl. Resp. Ms. DeWester was uncomfortable with Ms. Steuerwald praying over the phone. Pl. Add. Facts ¶ 1367.
On' more than one occasion, Ms. Steuer-wald told Ms. DeWester that she was “walking in the flesh.” Ms. DeWester took exception to the Values Definitions attached to Preferred’s Values Statement, because she did not think the Bible verses belonged in the workplace. Def. Facts ¶¶ 482, 485, 486.
Ms. DeWester was directed to support Ms. Steuerwald’s religious beliefs on several occasions. She was directed to go to devotions. She was encouraged to fast. She was instructed, when she hired employees, to make sure that they were Christians. In a letter dated August 18, 1995, Ms. Steuerwald told Ms. DeWester to be present at an in-service values presentation to make the introduction and to show her support. Ms. DeWester felt that her employment was threatened when she did not attend a religious function during work hours, even though she acknowledged that she was not disciplined for not attending. Pl. Add. Facts ¶¶ 1359-1363, 1364 (and Def. Reply).
At two meetings Ms. DeWester attended, Darlene Wright and Jackie Steuerwald talked about speaking in tongues. Towards the end of Ms. DeWester’s employment, Ms. Steuerwald discussed, in Ms. DeWester’s presence, a vision she had of the Antichrist. “Walking in the flesh” was a common statement at Preferred. Ms. DeWester heard repeated discussions about the spirit and spirituality. Pl. Add. Facts ¶¶ 1365, 1366, 1371. On more than one occasion, Ms. DeWester heard Ms. Steuerwald say in a meeting that she was looking at her managers and thought that some of them were not where they should be spiritually. On one such occasion, Ms. Steuerwald gave Ms. DeWester books on religious topics. She then followed up by asking Ms. DeWester about the books. Pl. Add. Facts ¶¶ 1377-1381.
Ms. DeWester tried to appear busy in her office in order to avoid seeing the Holy Spirit videos presented at the Indianapolis branch. Occasionally, Pastor Johnny Garrison would come to her office to ask her if she was attending the Holy Spirit videos. Pl. Add. Facts ¶¶ 1386, 1387. As a branch manager, Ms. DeWester was directed to tell applicants during the interview that Preferred is a Christian organization and to direct all applicants to talk with Pastor Johnny Garrison after she interviewed them. Pl. Add. Facts ¶¶ 1405-1406.
Ms. DeWester attended a branch manager meeting on June 21, 1995, at which Jackie Steuerwald discussed the Values Statement with the branch managers. Ms. Steuerwald told the attendees that each employee would be asked to sign a state
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ment at the beginning of the year agreeing to uphold Preferred’s values — among them, “Trust in God.” Ms. Steuerwald added that employees also would be asked to sign a statement at the end of the year agreeing that they had supported the values during that year. The values, Ms. Steuerwald said, were to be used in disciplinary actions. Ms. Steuerwald told the attendees that the values are the heart of Preferred and are not negotiable. Ms. DeWester.was told to prepare a list of employees who refused to sign the Values Statement and send that list to Ms. Steu-erwald. Ms. DeWester was also told to prepare a list of all employees who would like to discuss the values personally with Ms. Steuerwald and send that list to the corporate office. Ms. DeWester was offended by having Bible verses in the Values Statement, notwithstanding their consistency with her own religious beliefs. In a meeting that Ms. DeWester attended, Ms. Steuerwald explained that Jesus was the center of all of Preferred’s operations and that all of the employees were spokes on the wheel. All employees were required to attend a Values Presentation. Ms. DeWester signed the Values Statement because she wanted to keep her job. Pl. Add. Facts ¶¶ 1388-1401.
Ms. DeWester reacted negatively to Ms. Steuerwald’s writing called the “Transfiguration of Preferred” because, she opined, she did not believe that “God’s real anxious to make Jackie Steuerwald a rich woman.” Def. Facts ¶ 489 and Pl. Resp. Ms. DeWes-ter testified that, every time she had an extended conversation with Jackie Steuer-wald (except for the last), Ms. Steuerwald would ask: “Have you been saved?” or “Have you found Jesus?” or words to that effect. On each occasion, Ms. DeWester would respond: “Jackie* I am a Christian.” Def. Facts ¶ 490 and Pl. Resp.
Ms. DeWester once said in a meeting which Ms. Steuerwald attended that Preferred was a business, not a church. Diane Christian phoned Ms. DeWester the next day and told her that she was in serious trouble with Ms. Steuerwald over the remark and that Ms. DeWester had to understand that Ms. Steuerwald considered Preferred to be a mission. Ms. DeW-ester testified that one did not disagree with Ms. Steuerwald about religion for fear of losing one’s job, although she acknowledged that she knows of no person who was ever fired because of a dispute with Ms. Steuerwald over religious beliefs. Def. Facts ¶ 496; Pl. Add. Facts ¶ 1409; Def. Facts ¶ 498.
After an interview with an applicant, Ms. Steuerwald came to a branch manager meeting and announced that she may have her first lawsuit. She said that the applicant was from the Southwest and that the applicant’ was Unitarian and wouldn’t fit in. Pl. Add. Facts ¶¶ 1410,1411.
On October 7, 1992, Diana Christian reviewed Ms. DeWester’s work performance. In the “development” box on the evaluation form, Ms. Christian noted: “sometimes can be reactionary”; “can be abrupt when under pressure”; “but also needs to work on handling frustration.” Def. Facts ¶¶ 499, 500 (and Pl. Resp.). On that evaluation, on a scale of I to IV, with IV being the highest, Ms. DeWester received a “HI” in leadership, a “HI” in planning and organizing, a “HI” in decision making, a “III” in delegation and control, a “HI” in achieving results, a “II” in cost control, a “HI” in organizational knowledge, a “IV” in training/development, between “II” and “HI” in organizational cooperativeness, a “IV” in initiative, a “HI” in resourcefulness/creativity, a “IV” in integrity/honesty, a “HI” in communications, a “HI” in interpersonal relations, and a “II” in corporate philosophy. Pl. Add. Facts ¶ 1414.
Her overall rating on the October 22 evaluation was a “HI.” Pl. Add. Facts
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¶ 1415. In addition, in the handwritten section listing “Areas of Concern,” the following comments are written: “None”; “I think she was under a lot of stress up until a QA nurse was hired”; and “I think she was afraid she was not doing a good job due to the work load. She has always done a great job, even though there was lots to do.” Pl. Add. Facts ¶ 1417.
Her next evaluation was on September 22, 1993. Ms. Christian wrote that Ms. DeWester needed to increase her communication with her staff, be more approachable, and to work on ways to deal with anger. Def. Facts ¶ 501, 502. On a scale of I to IV, with IV being the highest, she received a “III” in leadership, a “III” in planning and organization, a “III” in decision making, a “III” in delegation and control, a “III” in achieving results, between a “I” and a “II” in cost control, a “IV” in organizational knowledge, a “III” in training/development, a “III” in organizational cooperativeness, a “IV” in initiative, a “HI” in resourcefulness/creativity, a “IV” in integrity/honesty, a “HI” in communications, a “II” in interpersonal relations, a “III” in corporate philosophy. Her overall rating was a “III.” Pl. Add. Facts ¶ 1418, 1419. In one of her comments in the narrative section Ms. Christian wrote of Ms. DeWester: “Overall, she is a wonderful employee & is a great asset to the agency.” Pl. Add. Facts ¶ 1420.
On Ms. DeWester’s evaluation of May 19, 1994, Ms. Christian identified Ms. DeWester as a strong leader, but noted that her staff had changed its perception of her since the preceding September. Her staff had raised concerns about Ms. DeWester’s honesty, integrity, fairness, respect for authority and ability to work with cohesiveness, among other things. Def. Facts ¶¶503, 504, 505.
7
Notwithstanding these comments, on a scale of 1 to 3, with “1” meaning “job performance does not meet requirements”, “2” meaning “job performance meets requirements” and “3” meaning “job performance exceeds requirements,” the only score that Ms. DeWester received below a “2” on this evaluation was in the area of “implements company policy and procedure within an acceptable time frame.” Under the comments for that criterion, Ms. Christian wrote: “implements procedures, however, seems to be non-supportive at times.” Pl. Add. Facts ¶ 1421, 1422. When discussing the comment in the May 19 evaluation, Ms. Christian told Ms. DeWester that she had to support Preferred’s religious philosophy. Pl. Add. Facts ¶ 1423. Prior to receiving the May 19, 1994 evaluation, numerous Indianapolis employees told Ms. DeWester that she should be more supportive of Preferred’s religious philosophy and its Chaplain. Pl. Add. Facts ¶ 1424.
After the May 19 evaluation, Ms. Christian established a set of 60 day goals as follows: (1) “do not let any unclean thing come out of your mouth”; (2) do nothing out of favoritism; (3) be a good role model; (4) “openly support Chaplain and Preferred’s philosophy”; and (5) develop positive relationships with office and field staff. Def. Facts ¶ 506 and Pl. Resp., 507 and Pl. Resp. Ms. Christian also admonished Ms. DeWester that if significant improvement was not made in these areas, especially in the areas of interpersonal relationships, Ms. DeWester could face additional disciplinary action up to and including discharge. Def. Facts ¶ 508. Ms. DeWester believed that the employees she had diffi
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culties with were those who supported Ms. Steuerwald’s religious beliefs. PI. Add. Facts ¶ 1427. Diane Christian’s instruction for goal number three was to support Preferred’s religious philosophy. PI. Add. Facts ¶ 1425. The instruction for goal number four was to go to devotions. PI. Ad. Facts ¶ 1426.
In September 1994, Ms. Christian advised Ms. DeWester that she had shown marked improvement in the areas relating to her goals, and noted that she had been working hard at improving her relationships within the office. Def. Facts ¶ 509. Ms. Christian observed, for example, that “[djuring the last few months, I have noted her strong support for the Chaplain.” PL Add. Facts ¶ 1428.
On May 10, 1995, Ms. DeWester received her last performance evaluation. Ms. Christian noted that Ms. DeWester needed to continue working on controlling her emotions. Def. Facts ¶ 510-511. On this evaluation, on a scale of 1 to 3, “1” signified “job performance does not meet requirements,” “2” meant “job performance meets requirements,” and “3” meant “job performance exceeds requirements.” The only score that Ms. DeWes-ter received below a “2” was for: “adheres to established branch budget and advises appropriate supervisor of variations.” PI. Add. Facts ¶ 1429. In the narrative section of this evaluation, Ms. Christian wrote: “Diana is an excellent client advocate. She is a resource to other branches on IV’s. She is innovative & creative. On her branch audit in April, her office was well organized, up to date, excellent charting & well run with only very minor suggestions. It has been a challenging, growing & stretching year for the Indpls. office & I feel that Diana has grown as well.” PL Add. Facts ¶ 1430.
On February 19, 1996, Ms. Christian spoke with Ms. DeWester on the telephone to set up a meeting between the two of them and Nellie Foster to discuss Ms. DeWester’s performance and areas of potential improvement. Ms. Christian informed Ms. DeWester about Ms. Foster’s “Leader in the Making” program and that Ms. Foster had been brought on board to elevate the performance of Preferred’s managers. The three met on February 28, 1996. During the meeting, Ms. Christian and Ms. Foster discussed with Ms. DeWester some personality issues that were affecting the operations and morale of the Indianapolis branch. Ms. Christian addressed the perceptions that Ms. DeW-ester could be “bossy,” controlling and intimidating. By the end of the meeting, however, Ms. Christian believed some progress had been made and she and Ms. Foster, along with Ms. DeWester, developed a personal improvement plan. Def. Facts ¶ 513-514, 516-519.
Ms. DeWester’s personal improvement plan called for Ms. DeWester to do the following: (1) pick two weaknesses to target over the next few months; (2) document two instances where she made progress in overcoming those weaknesses within a given period of time frame; (3) complete some exercises concerning relational skills within a given time period; and (4) implement values in areas of “atmosphere, attitude, behavior, conduct, [and] discipline” within a the time period. Def. Facts ¶ 520.
Ms. DeWester attended two or three of Ms. Foster’s training sessions and found them to be religiously-oriented. Pl. Add. Facts ¶ 1433. On March 1, 1996, Ms. DeWester called Ms. Christian to inform her of her resignation. Ms. DeWester stated that she was not willing to make the changes discussed in the meeting held two days earlier and could no longer put up with the religion at Preferred. Def. Facts ¶¶ 523, 524. Ms. DeWester said that, after years of religiously-oriented materials and
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comments, attending Ms. Foster’s training sessions was the last straw. The day after Ms. DeWester turned in her resignation letter, Diane Christian told her: “Jackie has decided she wants you to leave now.” Pl. Add. Facts ¶¶ 1432,1434.
7.
Mary Mulder
Mary Mulder has attended Catholic churches with her husband and children, but has never joined any church or become Catholic herself. She considers herself a Christian, which she understands to mean that she is to be kind to people and honest with them. Def. Facts ¶¶ 590, 591. She believes that being “saved” means that you believe in God and are kind to other people, you try to live an honest life and take care of your family. Pl. Add. Facts ¶ 1481. She perceives her beliefs about being “saved” are different from those of Jackie Steuerwald, Mike Pyatt, and Becky Seim. She thinks that, for them, in order to be saved one had to preach the gospel to other people and verbally express one’s feelings about religion. Ms. Steuerwald told Ms. Mulder that to become “saved,” Mary Mulder needed to learn how to preach the word of God to other people, to openly talk about it and to give away her sinner ways of life. Pl. Add. Facts ¶ 1482-1484.
Ms. Mulder applied at Preferred’s Indianapolis branch in October 1995 for a staffing coordinator position, which involved organizing the schedules for all of the home health aides in the branch. She interviewed with Becky Seim, who would be her direct supervisor and who told Ms. Mulder during the interview that she “used to be a wild person that wasn’t directed by spiritual guidance and that Jackie Steuerwald had helped direct her in the right direction, and that her husband still wasn’t walking in the right path but that that was something that [she] had to work out, but [she] felt like a better person.” Def. Facts ¶ 592, 595; Pl. Add. Facts ¶ 1486.
Ms. Mulder received her only performance evaluation on January 8, 1996. It was prepared by Ms. Seim, to whom she reported directly, and it was a good review. Def. Facts ¶ 597; Pl. Add. Facts ¶ 1489.
Before her first day of work, Ms. Mulder met Johnny Garrison, the chaplain, who told her that Preferred offered a devotional time, and that she was welcome to attend. Ms. Mulder always understood that the devotions were optional and she went as often as she could, because she enjoyed them. Ms. Mulder did not consider anything that occurred at the devotions to be offensive. Def. Facts ¶ 598-600. At times, when Ms. Mulder did not attend devotions, Becky Seim would ask “Why didn’t you go into devotions today?” She also observed: “Well, Jackie likes for everybody
to
attend.” Pl. Add. Facts ¶¶ 1487-1488.
During her orientation, Ms. Mulder reviewed the Transfiguration of Preferred. Ms. Mulder’s reaction to it was that, if Ms. Steuerwald wanted to believe that, so be it. Def. Facts ¶¶ 601, 602.
On one occasion, Ms. Mulder attended a meeting presented by Mike Pyatt where he discussed the need for the people in the branch to work together and told those in attendance that because they “weren’t reaching out to each other and being like Godly children should be,” that was why their work was not flowing; he also said that, if they centered their lives around Jesus, everything would flow. Def. Facts ¶ 604 and Pl. Resp. Mr. Pyatt told the attendees: “If you’re not walking in the right path of God, you need to look for a new job, this is not the place for you.” Def. facts ¶ 605 and Pl. Resp. Becky Seim told employees that Ms. Pyatt was coming on a particular day at a particular time and that they were expected to be there. Pl. Add. Facts ¶ 1491. Mary Mulder was
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shocked and offended by Mr. Pyatt’s comments and actions during the meeting in which he put up the organizational wheel chart with “Jesus” in the center. Pl. Add. Facts ¶ 1492.
On one occasion Ms. Steuerwald brought a video, “The Holy Spirit,” to the Indianapolis branch and employees were expected to attend. Pl. Add. Facts ¶ 1493. Ms. Seim told Ms. Mulder that she did not need to see the tape because she was Catholic and would not understand it. Def. Facts ¶ 606. Ms. Mulder was not eager to see the movie, but she was shocked by Ms. Seim’s comment. At the time of the showing, Ms. Steuerwald talked about how she found the Holy Spirit and she wanted her “people” to experience it as well because it would change their lives as it had hers. Ms. Mulder understood the phrase “her people” to mean the Preferred’s employees. Pl. Add. Facts ¶ 1495, 1496, 1497. Ms. Mulder went to the showing of the tape anyway. Def. Facts ¶ 607.
In November 1995, Ms. Seim told Ms. Mulder that she should not tell Jackie Steuerwald that she was involved with the Catholic church because, according to Ms. Seim, Ms. Steuerwald did not like Catholics. Ms. Seim observed that she herself used to be involved with the Catholic Church, but that after she met Jackie, Jackie was able to bring religion into her life the way it should be. She said she was no longer involved with the Catholic Church, and she was heavily involved with another church Def. Facts ¶ 609; Pl. Add. Facts ¶ 1498. Ms. Steuerwald denied having said that she does not like Catholics and denied having any bias against Catholics. Def. Facts ¶¶ 610, 612.
Ms. Steuerwald also told Ms. Mulder that she was very open about her religion because she wanted others to have the glory of God in their lives too. Ms. Mulder responded by stating that she was very private about her religion, that she liked to pray in private and did not like preaching to other people. Ms. Steuerwald responded that, because she was not charismatic about religion, she could not be walking in the right path of God. She told Ms. Mulder that she could not be a saved Christian. Def. Facts ¶¶613, 614; Pl. Add. Facts ¶¶ 1510,1511.
In Ms. Mulder’s presence, Becky Seim said, “Oh, you know those Catholics, they’re just heathens.” Ms. Seim told Ms. Mulder that Diana DeWester always fought corporate on religious issues, and they did not like that. Ms. Seim often told Ms. Mulder what a good Christian she was because she participated in church all the time, believed in Jesus Christ, and believed in the Bible. Ms. Seim would ask Ms. Mulder daily for her list of problems, and when Ms. Mulder would show them to her, Ms. Seim would say “Let’s pray about them.” Ms. Seim suggested that Ms. Mulder pray over her paperwork. After Ms. Seim and another employee took Ms. Mulder’s paperwork into another room and prayed over it, Ms. Seim told Ms. Mulder that the only reason the work got done was because they had prayed over it. When Ms. Mulder asked Ms. Seim not to pray over her work, Ms. Seim told her that was a common practice for them and that they would continue to do it. Pl. Add. Facts ¶ 1517-1523; Def. Facts ¶¶ 616-618.
In January 1996, Ms. Mulder was attending comprehensive orientation at the corporate office when Mike Pyatt asked her how she was enjoying working for Preferred. Ms. Mulder stated that she enjoyed the work but was uncomfortable with all of the religious aspects, such as praying over paper work. Mr. Pyatt responded, “You’re the hardest kind to break.” Def. Facts ¶ 619-621.
At the comprehensive orientation attended by Ms. Mulder, each speaker ex
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plained her role in the company and also shared some personal information about her spiritual journey. Although Ms. Mulder found none of the individual presentations offensive, by the end of the day when every speaker had talked about a religious expez-ience, Ms. Mulder thought that it was a strange thing: by her own beliefs, a religious experience may only come once in your life or may never come at all, yet all of the speakers had one or more religious experiences. Def. Facts ¶ 623, 624 and PI. Resp. After listening to the speakers’ recitations, Ms. Mulder started to feel excluded; she thought that, if she didn’t believe the way they did, then she would be considered different or an outcast. She started to think that she shouldn’t voice her opinion on what she felt. PI. Add. Facts ¶ 1530,1531.
Ms. Mulder also attended some of the presentations made by Nellie Foster, which she found offensive not because the content was contrary to her religious beliefs but because she did not feel it was necessary in the workplace. She was uncomfortable about having someone stand in front of her telling her that religion was necessary in the work place. She also took offense on one occasion when she saw the Lordship Ladder posted for one day in the women’s restroom. Def. Facts ¶ 625 and PI. Resp., 626.
Once, one of Ms. Mulder’s co-workers made a reference to the Masonic temple being a cult after Ms. Mulder mentioned that her father belonged to the Masons. Def. Facts ¶ 627. Whereupon employees Jennifer Underwood, Marilyn Pitzulo and Deanna Roberts said: “Didn’t you know that the Masonic Temple is a cult?” They then began snickering and laughing and whispering in each other’s ears. One of them said that the Masonic Temple was a religious cult. Ms. Mulder was humiliated by this experience. She did not complain about the comments concerning the Masonic Temple because of the steady barrage of religion, and it would not make any difference what she said; unless she conformed to the group’s religious views, she wouldn’t be part of the group. PI. Add. Facts ¶¶ 1534-1540.
After employee Rebecca Lambert left Preferred, Becky Seim came into Mary Mulder’s office and said: “I think we need to pray in this office to get rid of the evil demons.” After Diana DeWester left, Becky Seim told Mary Mulder that she and Jackie Steuerwald had prayed over Diana DeWester’s office to get rid of the evil demons in her office when she left. PI. Add. Facts ¶¶ 1541, 1542. At some point in her employment, Ms. Mulder began to get sick to her stomach at the sight of religious memos. She became increasingly uncomfortable seeing items with Bible verses on them in the reception area. PI. Add. Facts ¶¶ 1544,1545.
Jackie Steuerwald had meetings at least once a month at the Indianapolis branch during Ms. Mulder’s employment there. When Ms. Steuerwald talked about religion, she would say: “If you can’t speak up and talk about God and talk his preachings and to walk his walk, you are not a good Christian and you need to get your life on the right path.” At one of the meetings, Ms. Steuerwald passed out the writing entitled “Characteristics of Broken People Prepared for Revival.” After doing so, Ms. Steuerwald suggested: “You might want to read down it and see which side of the page that you fall on and work towaz'd getting to the proper side.” Jackie Steu-erwald told the group that the proper side was the side of “broken people.” PI. Add. Facts ¶¶ 1546-1550.
Ms. Mulder was frustrated at what she saw as inefficiencies or intez'-disciplinary problems in the workplace that affected how she was. able to perfoz'm her job. Whenever she attempted to raise these
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concerns, however, the response focused on religion rather than a practical solution to the problem. Def. Facts ¶ 629, 630. The religious response increased the frustrations. Pl. Add. Facts ¶ 1552. Ms. Mulder perceived the morale in the Indianapolis office to be low. She believed that many employees were upset and scared that they were going to lose their jobs if they didn’t agree with everything the corporate office presented on religion. Pl. Add. facts ¶ 1553.
After Diana DeWester resigned and Preferred was in search of her successor in May 1996, Ms. Steuerwald held a meeting in the Indianapolis office with Ms. Mulder, Angie Weiskittel, Amy Butler, Cathy Robinson and Carol Fuzzell to address the reasons why some of the departments were not running smoothly. Ms. Steuer-wald opened the meeting by reading from her Bible and said that the office was not running smoothly because the employees were not on the path of God and were all sinners. She told the group: “You realize that you’re all sinners, that you all play a part in this, of being a sinner. Each and every one of you is a sinner.” Def. Facts ¶ 633, 635. Ms. Steuerwald asked Angie Weiskittel: “Do you believe that you’re a sinner?” She replied: ‘Well, I guess I am.” Pl. Add. Facts ¶¶ 1556, 1557. Ms. Steuerwald looked at Amy Butler and asked: “Do you believe that you’re a sinner?” Ms. Butler hung her head and started to cry and said: “Yes, I’m a sinner.” Pl. Add. Facts ¶¶ 1558, 1559. Ms. Steuerwald concluded: “That’s right. Because each and every one of you is a sinner.” Pl. Add. Facts ¶ 1560. She added: “Until you people release your vanity and quit becoming vain people, you’re always going to come up with these problems.” Pl. Add. Facts ¶ 1561.
8
Kathy Robinson asked Ms. Steuerwald “What do you mean by being vain?” Ms. Steuerwald replied: “When you cause problems, when you think that you’re the only important person in this office, that everybody else is wrong, that means that you’re a vain person.” Ms. Robinson queried: “How can you tell us this is a vain act when we’re just trying to make our jobs run more smoothly?” Ms. Steuerwald got up from her seat, put her hands on the table, leaned forward to about six inches from Ms. Robinson’s face and said: “You are a vain sinner.” Pl. Add Facts ¶¶ 1562-1566. Ms. Steuerwald told Ms. Robinson to repeat after her: “I will pray to God and ask him to keep me from thinking in yain ways.” Ms. Robinson repeated the statement. Ms. Robinson and others present began crying. Pl. Add. Facts ¶ 1568-1570. Ms. Mulder was crying because it upset her to see her fellow workers so upset and because she felt that Ms. Steu-erwald had “reduced her to slime,” that Ms. Mulder was a horrible person because she wasn’t practicing Ms. Steuerwald’s beliefs. Pl. Add. Facts ¶ 1571.
At one point during the May 1996 meeting, Ms. Steuerwald mentioned something about the Holy Spirit. Mary Mulder responded: “You act as though, when you talk about the Holy Spirit that this is something totally new in your life. If you
*802
believed in God, what did you believe in if you didn’t believe in the Holy Spirit?” Ms. Steuerwald responded that she had learned not to be a sinner and not to be a vain person and that her new way of life taught her about the Holy Spirit. Ms. Steuerwald then continued for a lengthy period of time giving the attendees of the May 1996 meeting examples of how they were sinners. She said that, instead of trying to deal with each other in a religious fashion, looking toward God for answers, they were going to supervisors and they weren’t dealing with their problems when there really was no problem; she told them it was just a fact that they were just being bad to each other, being sinners, and being vain people. When Ms. Steuer-wald said things like “You’re all sinners,” she would look at each person in attendance. Some of the “you’re all sinners” comments were directed at Mary Mulder. PI. Add. Facts ¶¶ 1573-1580.
During the May meeting, Ms. Steuer-wald asked Ms. Mulder whether she prayed over her work. Ms. Mulder responded that she was not raised to pray for material gain and that she thought it was selfish to do so. Ms. Steuerwald replied: “Your kind are the hardest to break.” Def., Facts ¶¶ 640, 641.
During the May 1996 meeting, Becky Seim started to argue with another employee. During the argument, Ms. Seim burst into tears and said: “I’m a sinner, I’m a sinner, oh, God, please forgive me, I’m a sinner.” Ms. Steuerwald commented that: “Becky is the only one in this room who is on the right path to being a good Christian.” The May 1996 meeting ran until the end of the day. At the close of the meeting, Ms. Steuerwald said: “I see it’s the end of the day. It’s time for us to get ready to leave. You know, there are people that are going to be passing us in the hallway. I would like for them to think that we’re all in accordance with each other. I think it’s time that we should sing a song together.” Ms. Mulder reluctantly joined in the singing of “Jesus Loves Me.” She thought: as a person who believes in God, it was hard not to join in on some of the things that went on at Preferred. Ms. Mulder thought she was in such a weakened state at that moment that she needed some strength herself and it felt like such a horrible thing to say, gee, God, I’m going to insult you now and not sing this simple little child’s song. Ms. Mulder did not consider singing the song a choice. PI. Add. Facts ¶¶ 1581-1588.
On May 22, 1996, Ms. Steuerwald sent a memo to Kathy Robinson, Carol Fuzzell, Becky Seim, Amy Butler, Angie Weiskittel and Mary Mulder entitled “Your New Walk.” Ms. Steuerwald intended the memo to teach the recipients that “carnal weapons are reasoning and spiritual weapons would be prayer. And so I was trying to teach them instead of reasoning some of the things they were and coming up with wrong conclusions, it would be better to pray about those things.” Def. Facts ¶ 645 and PL Resp. The memo entitled ‘Your New Walk” read, in part:
I thank my God every time I remember you. In all my prayers for all of you, I always pray with joy because of your partnership with me in living out the gospel.
In my daily prayer journal this week, I had these 2 lessons and felt I should share them with you.
The Divine Rea-sonings of Faith
and the explanation of it will encourage you in your walk of laying down your carnal weapons. The admonition is to “Seek ye first the kingdom of God, and His righteousness, all these things shall be added unto you.” Matthew 6:33
Please feel free to share with me your trials and victories. I’m believing for you and in you!
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PL Add. Facts ¶ 1595. Mary Mulder interpreted the phrase “laying down your carnal weapons” to mean that the attendees should stop being vain and start becoming more Godly, and not go against Ms. Steu-erwald’s wishes; that everyone was supposed to walk in this religious path that Ms. Steuerwald wanted them to go into. PI. Add. Facts ¶ 1597.
After receiving the memo, Ms. Mulder left a meeting in frustration when someone in attendance remarked that they needed to pray about some matter. Ms. Mulder stated as she left that she was tired of hearing about “praying about it.” Def. Facts ¶¶ 646, 647.
Two weeks before Ms. Mulder quit, Kristi Fenter, the acting branch manager, referred to those in attendance at a staff meeting as sinners because they had continued to argue over paperwork and other office matters. At that point, Ms. Mulder began crying, could not stop and had to leave the room. Def. Facts ¶ 648, 649.
Ms. Mulder found herself growing depressed. She would go home in tears at night because of the events at work. Def. Facts ¶ 651; PI. Add. Facts ¶ 1602. Ms. Mulder resigned on June 30, 1996, because she could no longer tolerate the campaign of religious activities at Preferred. PI. Add. Facts ¶ 1603, Def. Facts ¶ 650. In her resignation letter to Ms. Steuerwald, Ms. Mulder stated that the burden she could no longer bear was not the stress of the job but Ms. Steuerwald’s religious convictions. Def. Facts ¶ 652.
III.
Analysis.
A.
Summary Judgment Standard.
The parties here have established a record of dubious distinction. Pursuant to Local Rule 56.1 they have submitted factual statements consisting of 1,624 separately numbered items. Most consist of two or three paragraphs including statements of fact, rebuttals, and sur-replies. The statements of fact fill 372 pages. They are replete with legal arguments, objections, and arguments concerning the admissibility of statements and the evidence underlying them, and verbal pot-shots at one another. We expect better from able counsel such as those on both sides of this action.
Even though this case is more complicated than most employment discrimination cases, it is useful to remind parties who make such voluminous submissions that summary judgment was not designed to be a “paper trial.” Instead, on a motion for summary judgment, “[t]he

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Source: Frix Law Library, https://www.frixlaw.com/law-library/cases/2378208. Public record. Not legal advice.