Business news briefs for April 2, 2004

Friday, April 2, 2004 | 11:16 a.m.

Judge tosses age bias suit

PHILADELPHIA -- A federal judge has ruled that Allstate Insurance Co. did not commit age discrimination in 2000 when it forced thousands of its agents to become private contractors with limited benefits.

In a class action lawsuit, a group of agents had alleged that the 6,400 people affected by the reorganization had a median age of 50 and were the victims of a policy that unfairly targeted older workers.

Allstate said it was simply trying to save $600 million a year and had no plan to rid itself of older workers.

In a pretrial ruling signed Tuesday, U.S. District Judge John P. Fullam said there was no basis for the age discrimination claim "for the simple reason that employees of all ages were treated alike."

Incentives boosted

DETROIT -- Auto sales were up 3.8 percent in March from a year ago, but automakers still are looking at incentives to reduce inventories.

If auto sales during the first three months of 2004 held for the year, the industry would sell 16.4 cars and light trucks, below automakers' hopes of about 16.8 million.

Although General Motors' sales were up 6 percent in March over a year ago, it has 1.3 million cars and trucks in its pipeline, about 10 percent more than optimal. It bumped up incentives on most pickups and sport utility vehicles Thursday by $1,000 to $4,500 or no-interest financing on five-year loans.

Chrysler Group, whose sales were down 3 percent, raised incentives on its all-new Durango SUV and on minivans. Ford Motor's sales were up 3 percent, but it raised incentives on its F-150 pickup, Focus small car, Escape SUV and Windstar minivan.