Shipyard yanked veteran's job after he passed the physical, EEOC alleges

A back injury from military service caught the employer's attention during screening

Shipyard yanked veteran's job after he passed the physical, EEOC alleges

A disabled veteran applied for a machinist job at a Florida shipyard, passed every part of the physical exam - and still had his job offer pulled, the EEOC alleges, after he disclosed a service-related back condition.

The Equal Employment Opportunity Commission filed a federal lawsuit against Eastern Shipbuilding Group on September 24, 2026, alleging the Panama City-based company violated the Americans with Disabilities Act when it rescinded a conditional offer of employment.

According to the complaint, the applicant applied for a millwright machinist position with Eastern Shipbuilding in November 2024. The company extended a conditional offer on December 9, 2024, pending a pre-employment physical.

He passed it.

On February 25, 2025, the applicant completed the post-offer physical examination successfully, including the required 50-pound lifting tasks. But during the exam, the complaint states, he asked about the safety of lifting 50 pounds while turning 270 degrees.

The medical examiner noted, according to the filing: "Complained that he did not want to reinjure his back by lift 50#. Military injury 2021."

The clinic transmitted those results to Eastern Shipbuilding. A recruiting coordinator then spoke with the applicant about them, the complaint alleges, and during that conversation the applicant disclosed that he is a disabled veteran. The EEOC alleges the applicant has degenerative disc disease, a condition that substantially limits major life activities.

Then came the phone call.

On or around February 28, 2025, the recruiting coordinator called to tell the applicant that Eastern Shipbuilding was pulling his conditional offer, the complaint states. The reason given, according to the filing: because he is a disabled veteran.

The EEOC brings three ADA counts. The first alleges the company rescinded the offer based on actual disability. The second alleges discrimination based on a record of disability. The third alleges Eastern Shipbuilding treated the applicant as having a disability and acted on that perception. All three counts allege the conduct was intentional and done "with malice or with reckless indifference" to the applicant's federally protected rights.

The Commission is seeking a permanent injunction, backpay with prejudgment interest, compensation for losses including medical and job search expenses, damages for emotional pain and suffering, and punitive damages - all in amounts to be determined at trial.

The EEOC followed its standard enforcement process before filing suit. It issued a determination letter on May 28, 2026, finding reasonable cause to believe the ADA had been violated, and invited the company to conciliate. When those talks broke down, the Commission issued a failure-of-conciliation notice on June 9, 2026, and moved to litigation. A jury trial has been demanded.

For HR teams managing post-offer screening, this case is a pointed reminder: a candidate who clears the physical has cleared the physical. Medical screenings exist to assess whether someone can safely do the job - not to surface disability history that then drives the hiring decision.

The allegations have not been tested, and no court has ruled on the merits of the claims.

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