The University of Michigan last month agreed to pay $300,000 to settle a former employee’s whistleblower and wrongful termination lawsuit.

The university, through its attorney, signed a confidential settlement agreement on Dec. 3. A copy of that agreement was later released to MLive in response to a Freedom of Information act records request.

Amy J. Wang, who earned nearly $200,000 per year working as an executive in technology services and later the finance department, claims the university fired her for blowing the whistle on improprieties related to the employment of a non-U.S. resident.

Wang, through the complaint filed by her attorneys in September, claims she was asked by her boss, Associate Vice President of Finance Nancy Hobbs, to lie to U.S. Customs and Immigration Services officials about the duties of a temporary, full-time employee.

The employee in question worked at the university through a North American Free Trade Agreement-created program that allows residents of Mexico or Canada to receive temporary work Visas to work in the U.S.

The University denied the allegation in a response to the lawsuit filed in federal court and said administrators identified and corrected the employee’s Visa renewal issue independent of Wang.

According to the complaint, the employee worked in a permanent, managerial role, which isn’t allowed under the program guidelines.

The lawsuit says the unidentified employee and Hobbs asked Wang to “fraudulently misrepresent” the employee’s title and job duties in a letter to U.S. Customs and Immigration Services that was required in order to renew the employee’s Visa.

Wang refused and worked with human resources personnel to revise the employee’s work duties, which included the removal of management duties and a pay reduction of $9,500.

The incident caused conflict between Wang and her boss, whom the lawsuit said had a “close personal relationship” with the temporary employee.

On June 19, the lawsuit said Hobbs “completely blindsided" Wang by asking Wang to resign under threat of firing if she refused.

Wang declined and the matter went to a disciplinary review conference, which resulted in Wang being officially fired on July 13. According to the lawsuit, the basis for her termination was a “failure to meet expectations.” Wang argued that the decision was retaliation for her refusal to write a fraudulent letter on behalf of the employee who required a work Visa renewal.

While the university doesn’t admit any liability in the matter, it agreed to pay Wang $219,000 for lost wages and other damages, as well as $81,000 in costs and legal fees to Gasiorek, Morgan, Greco, McCauley & Kotzian Attorneys at Law, the firm that represented Wang.

Wang agreed to never again work for the university and cleared the university of any new claims related to her termination. The university agreed to update Wang’s personnel file so that it includes no mention of termination and reflects her departure as a voluntary resignation.

Hobbs retired from the university in late 2018.

Full settlement agreement: