The Puerto Rico Court of Appeals recently ruled against Thompson Construction Group, Inc. in a case involving allegations of wrongful termination and age discrimination brought by former employee Félix Vargas Correa. The court's decision, issued on June 30, 2026, means that Vargas Correa's claims will proceed in the lower court, impacting the ongoing legal battle over employment rights in Puerto Rico.
This case began when Vargas Correa filed a lawsuit against Thompson Construction on August 8, 2024, claiming he was unjustly fired after working for the company for nearly two years. He alleged that his termination was not only unjustified but also discriminatory based on his age, as he was 65 years old at the time of his dismissal. Vargas Correa contended that younger employees with less tenure were retained while he was let go, which he argued was a violation of his rights under Puerto Rican labor laws.
Thompson Construction responded to the lawsuit by denying the allegations and asserting that Vargas Correa's termination was part of a legitimate business reorganization due to economic difficulties. They claimed that the layoffs affected multiple employees across various job classifications and that the decision to terminate Vargas Correa was based on objective criteria, not age. The case eventually made its way to the Puerto Rico Court of Appeals after Thompson Construction sought a summary judgment to dismiss Vargas Correa's claims.
The court ruled on the appeal after Thompson Construction challenged a March 10, 2026, decision by the lower court that denied their request for summary judgment. The Appeals Court, led by Judge Trigo Ferraiuoli and joined by Judges Candelaria Rosa, Adames Soto, and Campos Pérez, found that there were indeed genuine issues of material fact that needed to be resolved in a trial. The court stated, "The evidence presented does not establish a clear justification for the dismissal of Vargas Correa, nor does it adequately address the alleged discriminatory practices based on age. Therefore, the lower court's decision to deny summary judgment is upheld."
This ruling is significant as it reinforces the protections against age discrimination in the workplace, particularly under Puerto Rican law. The court emphasized that employers must provide sufficient evidence to justify terminations, especially when claims of discrimination are involved. The decision also highlights the importance of evaluating the legitimacy of business decisions that lead to layoffs, particularly in cases where older employees are affected.
Moving forward, the ruling means that Vargas Correa's case will continue in the lower court, where he will have the opportunity to present his claims and evidence. This case could set a precedent for how age discrimination cases are handled in Puerto Rico, especially in the context of economic layoffs and business reorganizations. Employers may need to be more cautious in their decision-making processes to avoid potential legal repercussions.
As for what’s next, Thompson Construction has the option to appeal this ruling further, but details regarding any potential appeal were not available in the court filing. The ongoing case will likely draw attention from labor rights advocates and could influence future employment law discussions in Puerto Rico.