Wal-Mart avoids mass discrimination lawsuit | RetailDetail

Wal-Mart avoids mass discrimination lawsuit

The American Supreme Court has ruled against a “class action lawsuit” in the Wal-Mart discrimination case. Six women had filed a complaint against their employer, complaining that they had less chances of promotion and a lower salary, only because they are women.

 

No class action lawsuit

The Supreme Court did not acquit Wal-Mart of discrimination, but it decided that it is impossible to judge the working conditions of 1.6 million female employees in once case. It reversed the San Francisco Court of Appeals' decision, saying the plaintiffs have not proven that all these women underwent the same discrimination – which is their legal obligation in order to be able to start a class action lawsuit.

 

No 11 billion dollar fine

Had the Supreme Court ruled the class action lawsuit valid, the complaint would have applied to 1.6 million women – with the possibility of costing Wal-Mart 11 billion dollars (7.6 billion euro) in case of conviction. As the Supreme Court did not clear the discrimination charges, the case will continue about these six women only. It goes without saying that now the scope has been reduced from 1.6 million to six women, the pressure on Wal-Mart and the height of the possible fines (as well as the media attention in the US) will be significantly smaller.

 

The National Women's Law Center was very disappointed with the verdict, stating that “the Court has told employers that they can rest easy, knowing that the bigger and more powerful they are, the less likely their employees will be able to join together to secure their rights.”



The American Supreme Court has ruled against a “class action lawsuit” in the Wal-Mart discrimination case. Six women had filed a complaint against their employer, complaining that they had less chances of promotion and a lower salary, only because they are women.

 

No class action lawsuit

The Supreme Court did not acquit Wal-Mart of discrimination, but it decided that it is impossible to judge the working conditions of 1.6 million female employees in once case. It reversed the San Francisco Court of Appeals' decision, saying the plaintiffs have not proven that all these women underwent the same discrimination – which is their legal obligation in order to be able to start a class action lawsuit.

 

No 11 billion dollar fine

Had the Supreme Court ruled the class action lawsuit valid, the complaint would have applied to 1.6 million women – with the possibility of costing Wal-Mart 11 billion dollars (7.6 billion euro) in case of conviction. As the Supreme Court did not clear the discrimination charges, the case will continue about these six women only. It goes without saying that now the scope has been reduced from 1.6 million to six women, the pressure on Wal-Mart and the height of the possible fines (as well as the media attention in the US) will be significantly smaller.

 

The National Women's Law Center was very disappointed with the verdict, stating that “the Court has told employers that they can rest easy, knowing that the bigger and more powerful they are, the less likely their employees will be able to join together to secure their rights.”



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