| Class action sex discrimination lawsuit against walmart Original Source Link: (May no longer be active) http://www.usatoday.com/money/industries/retail/2004-06-23-retailers_x.htmhttp://www.usatoday.com/money/industries/retail/2004-06-23-retailers_x.htm
Wal-Mart suit could ripple through industry By Stephanie Armour and Lorrie Grant, USA TODAY
A sex-discrimination lawsuit against Wal-Mart Stores that was certified as a class action Tuesday could have ramifications in an industry where Wal-Mart is viewed as a leader.
The lawsuit, the largest private civil rights case ever, could prompt some companies to analyze their own pay and promotions practices to be sure they're not vulnerable to similar claims. (Related story: Wal-Mart in record sex-bias lawsuit)
A jury verdict against Wal-Mart or a major settlement could also prompt similar self-examination.
"It's an issue in every big company in the retail industry," says George Whalin, president of Retail Management Consultants. "We still have a lot of businesses that operate on the good-old-boy philosophy. ... We can't have this anymore. You should hire and promote people on the merits of their performance."
Retail is among the top 20 occupations of women in the USA, the Department of Labor says. About 42% of retail sales staffs are women, according to 2003 annual averages, and their weekly median earnings are $382. About 42% of first-line supervisors or managers of retail workers are also women.
The Wal-Mart lawsuit is being closely watched because the discount retailer is the No. 1 private employer. About two thirds of Wal-Mart's 1.2 million employees in the USA are women. That's more women than at any other company in the nation.
However, some experts say the issue won't reverberate beyond Wal-Mart because many retailers have already taken steps to ensure women are not lagging in pay or promotions.
Instead, they say this will be a test for Wal-Mart, which has become an increasingly attractive litigation target as it has grown over the past 40 years.
"It has no implications for the rest of the retail industry because retail has been good at paying equal money for equal performance in terms of gender," says Robert Antall, president at retail management consulting firm LakeWest Group.
Wal-Mart is facing a lawsuit by two current and four former employees; the case was certified as a class action, which means it could include more than 1.6 million women who have worked at any Wal-Mart store since December 1998. The exact number of plaintiffs has yet to be determined; Wal-Mart has said it will appeal.
Melissa Howard, an original plaintiff, says she quit her job as store manager in 2000 after monthly sales meetings were held at a Hooters restaurant and she was taken to a strip club during a business trip.
"I was a good store manager, and I shouldn't have been treated that way," says Howard, 36, of Indianapolis. "I was very excited (by the ruling). It was like somebody out there believes us."
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