Punitive Damage Awards Are Getting Smaller

California juries are getting more and more stingy about giving out big punitive damages in sexual harassment and other employment cases, a new report suggests.

Median punitive damages in employment cases have dropped from $1 million in 1992 to $500,000 in 1993, and to $66,000 last year, according to data compiled by Orrick, Herrington & Sutcliffe, a San Francisco-based law firm.

The figures are based on roughly 100 cases that have gone to trial annually in state and federal courts. Punitive damages are generally awarded to about 10% of the plaintiffs, the study says.

Jeff Wohl, an attorney at Orrick, Herrington, thinks the declining punitive awards reflect two trends. One, employers are avoiding egregious cases of sexual harassment and other types of employee discrimination.

The second, Wohl says, is that some employers--though they may not be doing a better job in the workplace--at least have learned that it’s better to settle than run the risk of going to court. “The worst cases are being settled,” he says.

Don Lee covers workplace issues for The Times. He can be reached at (714) 966-7407 and at don.lee@latimes.com