SEPTEMBER, 2012 - A class action lawsuit on behalf of approximately 700 female employees claims that the process used to promote employees to supervisory and management positions systemically discriminates against female employees. Reportedly, 561 Costco employees were promoted to assistant general manager between 1990 and 2004, but only 103 of those promotions went to women. The class action lawsuit claims that the process used to choose employees for promotion does not allow women to compete fairly.
In September, 2012 a U.S. District Court in California certified the class of female Costco employees and gave lawyers approval to move forward with the lawsuit.
The Costco class action was initiated several years ago, and put on hold while the Wal-Mart corporation defended itself against a similar class action lawsuit filed on behalf of 1.5 million of its female employees. Although Wal-Mart successfully thwarted the certification of the class in that action, the opinion of the Supreme Court actually provided a basis for reviving the Costco class action case. After it was deemed that the Wal-Mart case was not a valid class action because Wal-Mart didn't have a company-wide policy that created discrimination, lawyers for the female employees in the Costco class used company-wide promotion practices as the basis to gain approval to move forward with their class action.
Reportedly Costco does not post open managerial positions and allow employees to apply for them, but rather hand-picks the assistant general managers for its warehouse stores, which results in a disproportionate number of men receiving promotions.
Bookmark this page for updates to this Costco gender discrimination class action lawsuit as they become available.
More Retail Discrimination Lawsuits and Class Actions:
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In September, 2012 a U.S. District Court in California certified the class of female Costco employees and gave lawyers approval to move forward with the lawsuit.
The Costco class action was initiated several years ago, and put on hold while the Wal-Mart corporation defended itself against a similar class action lawsuit filed on behalf of 1.5 million of its female employees. Although Wal-Mart successfully thwarted the certification of the class in that action, the opinion of the Supreme Court actually provided a basis for reviving the Costco class action case. After it was deemed that the Wal-Mart case was not a valid class action because Wal-Mart didn't have a company-wide policy that created discrimination, lawyers for the female employees in the Costco class used company-wide promotion practices as the basis to gain approval to move forward with their class action.
Reportedly Costco does not post open managerial positions and allow employees to apply for them, but rather hand-picks the assistant general managers for its warehouse stores, which results in a disproportionate number of men receiving promotions.
Bookmark this page for updates to this Costco gender discrimination class action lawsuit as they become available.
More Retail Discrimination Lawsuits and Class Actions:
- Burger King Employee Pentecostal Discrimination Lawsuit
- Record Settlement Ordered in Chrysler Employee Racial Discrimination Lawsuit
- Wal-Mart Settles Employee Lawsuit for Cerebral Palsy Discrimination
- Costco Code of Ethics
- Career Path of Costco CEO James Sinegal
- Customer Service Tips from Costco, Disney, and Five Guys
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