United Airlines to pay $321,000 to settle federal sexual harassment suit

United Airlines Holdings Inc.

UAL, -0.06%

has agreed to pay $321,000 plus attorney’s fees to settle a sexual harassment suit filed by the U.S. Equal Employment Opportunity Commission (EEOC), the federal agency said Friday. The lawsuit alleged that a United pilot had posted without consent “explicit images” of a female flight attendant to many websites, mentioning the flight attendant’s name, home airport and United’s tagline “Fly the Friendly Skies.” The EEOC said the airline failed to correct the pilot’s behavior despite multiple complaints. The EEOC also asserted that the pilot was allowed to retire with benefits even though the U.S. attorney’s office initiated criminal prosecution under federal internet stalking laws. United is also required to include in its sexual harassment policies harassing conduct perpetrated online that affects the work environment whether on or off duty. United’s stock, which rose 0.3% in afternoon trading, has gained 0.4% over the past three months, while the NYSE Arca Airline Index

XAL, -0.14%

has hiked up 14.7% and the Dow Jones Industrial Average

DJIA, +0.48%

has tacked on 5.8%.

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