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Wal-Mart Gender-bias Lawsuit Goes to Supreme Court

Wal-Mart Gender-bias Lawsuit Goes to Supreme Court

Write: Myra [2011-05-20]
The U.S. Supreme Court said Monday it will decide whether a sex-discrimination class-action lawsuit against Wal-Mart Stores Inc. can proceed.

If allowed to proceed, the case will become the largest job discrimination lawsuit in U.S. history.

Arkansas-based Wal-Mart, the world's largest retailer, is appealing a ruling by the 9th U.S. Circuit Court of Appeals in San Francisco that the class-action could go ahead.

The suit was filed by six employees on behalf of more than a half-dozen former and current female Wal-Mart staffers. The plaintiffs claim that women at Wal-Mart and Sam's Club stores are paid less and promoted less often than men.

If Wal-Mart losses the suit, it could pay billions of dollars in legal damages.

Under a class-action lawsuit, a small number of individuals are allowed to file a suit that may affect a much large number of individuals with similar claims.

Lawyers for Wal-Mart argue that plaintiffs in 3,400 Wal-Mart stores under hundreds of job classifications do not have enough in common to make class-action appropriate.

Wal-Mart and other big companies that back Wal-Mart's appeal say that the lawsuit may lead to an avalanche of similar class-action lawsuits in California and the other Western states overseen by the 9th appeals court.

The Supreme Court will not be deciding whether Wal-Mart is guilty. It will only decide whether a single class-action lawsuit is appropriate when the discrimination claims are spread across 3,400 stores across about 170 job classifications.