Wednesday, April 6, 2011

Discrimination lawsuit against Wal-Mart may not go class action

Wal-Mart is defending itself in a huge discrimination suit that could cost the retailer billions. The Supreme Court heard arguments from both sides in the largest workplace discrimination suit ever filed. Whether the suit is considered a class action or not is the task at hand for the Supreme Court, which seemed to doubt whether that would be necessary. Article source – Justices doubt Wal-Mart discrimination suit warrants class action by MoneyBlogNewz.

Anything might change with Wal-Mart suit

There are many that know the Wal-Mart sex discrimination suit could change things. It wills likely end up at the Supreme Court due to its idea of Corporation rights versus workers rights. The ruling could impact virtually every private employer in the U.S. There were fewer chances of promotion and less payment given to former and current 1.6 million Wal-Mart employees, according to the lawsuit. The plaintiffs are demanding back pay and punitive damages. Last year a trial court and the U.S. Court of Appeals in San Francisco allowed the case to proceed in a combined, multiparty lawsuit in one trial. The Supreme Court must choose whether all the women who worked for Wal-Mart since 1998 can indeed sue together in a class action.

Chance of Wal-Mart losing quite a bit with lawsuit

The Wal-Mart liability would go up easily in the sex discrimination suit. This would be the case if it became a class-action suit. A ruling towards Wal-Mart would put intense pressure on the business to settle claims out of court. Wal-Mart would win effortlessly if the justice sides with it. This is since the individual lawsuits will not work nearly as well as one giant lawsuit. The sex discrimination lawsuit towards Wal-Mart could change the business world. This has brought on major U.S. corporations and employee advocates to follow it very closely. If the plaintiffs win, disgruntled workers might swamp the courts with a flood of worker discrimination lawsuits. Corporations would be relieved if Wal-Mart were to win this one.

Reaction to suit

During arguments over the Wal-Mart sex discrimination suit Tues, the Supreme Court questioned whether systematic discrimination took place. The plaintiffs' lawyer 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. The comment Wal-Mart said explained that it is not legal to do a class-action suit for all female employees considering there have only been discrimination instances in some stores by some managers. There has been discretion in managers choosing the payment of the men and women working at Wal-Mart. A systematic discrimination would be extremely hard in this instance. It will not be long before a decision is made. It is anticipated to occur in June.

Citations

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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