A class action lawsuit seeks to extract billions from Wal-Mart over allegations of sex discrimination. The largest lawsuit ever linked to gender discrimination in the workplace was argued before the Supreme Court Tues. Doubts were raised about the likelihood of a class action proceeding against Wal-Mart after several justices questioned critical aspects of the lawsuit.
Wal-Mart lawsuit might affect all businesses
The rights of workers versus corporations can be looked at, likely by the Supreme Court, in the Wal-Mart sex discrimination suit. All corporations in the United States need to pay attention. It will impact nearly all of them. In the lawsuit, it claims that about 1.6 million female Wal-Mart employees, past and present, were treated unfairly. The women weren’t given as many opportunities for promotion while being paid less. The plaintiffs are demanding back pay and punitive damages. In the San Francisco Bay Area, a United States Court of Appeals court let the case proceed. It was one trial for a multiparty suit. The decision the Supreme Court has to make is if it is okay for these women to sue Wal-Mart together. In the group there are women that have worked at Wal-Mart since 1998.
Wal-Mart might lose a lot in the class action lawsuit
The sex discrimination suit turning to class-action might hurt Wal-Mart quite a bit. Wal-Mart might have to settle out of court if there is a ruling towards it. The plaintiffs may end up filing individual suits towards Wal-Mart if Wal-Mart's side is chosen which would, in the end, make it so Wal-Mart might win. The sex discrimination lawsuit towards Wal-Mart might change the business world. This has caused major U.S. corporations and employee advocates to follow it very closely. It is possible that workers might end up flooding the courts with lawsuits though. This would be what happens if the plaintiffs win. Corporations would be relieved if Wal-Mart were to win this one.
Arguments about the suit
During arguments over the Wal-Mart sex discrimination lawsuit Tues, the Supreme Court questioned whether systematic discrimination took place. The plaintiffs' attorney explained that women are affected by stereotypes due to the corporate culture. About 3,400 Wal-Mart and Sam's Club stores in the United States had this problem, he said. Wal-Mart counters that any discrimination concerning pay or treatment came from a few rogue managers and a class-action covering all female employees deprives the business of its legal rights. Justices questioned a key contention by the plaintiff’s lawyer, that Wal-Mart managers were allowed personal discretion to pay men more than women, seemed to contradict claims of systematic discrimination. June is when the decision could be made.
Articles cited
Los Angeles Times
latimes.com/news/sc-dc-walmart-discrimination-20110329,0,3119421.story
CNN
cnn.com/2011/US/03/29/scotus.wal.mart/index.html?npt=NP1
Associated Press
google.com/hostednews/ap/article/ALeqM5gbOXzrZv6IDB2xzX5jdDJegcXkug?docId=879cbb4c18b44a338291cb69015c93db
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