Esberg v. Union Oil Company

**What Happened** An employee sued Union Oil Company of California claiming the company discriminated against them based on age when it denied educational assistance benefits. The worker also claimed the company broke their employment contract. The case made its way to the California Supreme Court. **What the Court Decided** The court ruled in favor of Union Oil Company on the age discrimination claim. The California Supreme Court determined that the state's Fair Employment and Housing Act (FEHA) does not require employers to provide employee benefits like educational assistance equally to all age groups. However, the worker did win $51,000 for the breach of contract claim, meaning the company had violated some terms of their employment agreement. **Why This Matters for Workers** This ruling shows that California's age discrimination laws have limits when it comes to employee benefits. While employers cannot discriminate in hiring, firing, or basic job conditions based on age, they may be able to restrict certain perks like educational benefits to specific age groups. Workers should carefully review their employment contracts, as contract violations can still result in compensation even when discrimination claims fail.