City of Carmel reinstates former employee and will pay $340,000

Carmel city council and Mayor Jason Burnet decided to reinstate longtime former employee John Hanson.

During the City Council meeting Tuesday, the city voted to pay Hanson a settlement estimated at $340,000. This includes $134,000 from back pay and benefits, $100,000 for damages and $105,000 for attorney fees and related expenses.

The cost will be covered by the city’s insurance group.

There are reports that say Hanson filled a lawsuit against the city for alleged age discrimination and retaliation for whistle-blowing after he was fired last year.

Mayor Burnett said in a written statement, “City Council carefully reviewed the actions by the city to terminate long-time employee John Hanson and strongly felt he should be offered his position back. We appreciate all that Mr. Hanson has done for the community over his many years of service in various capacities and we look forward to his continued efforts to serve our community.”

Hanson started working for Carmel by the Sea in 1988 in the Department of Public Works. He was terminated Aug. 2013.

The decision to reinstate Hanson came upon recommendations of City Attorney Don Freeman and City Administrator Doug Schmitz.

Hanson and his family thanked all of their friends who supported them through out this struggle.

“I am ready to come back and help heal and rebuild Carmel-by-the-Sea,” said Hanson, “To those citizens who engaged in the process, thank you.”

City Council said he’s expected to come back to work next week.