Goldman Sachs to Pay $215 Million to Settle Gender Bias Suit

Goldman Sachs said Monday it would pay $215 million to settle a lawsuit that accused the bank of systematically discriminating thousands of female employees. The money was distributed to about 2,800 women and the banks agreed to change some of their practices.

The individual payouts themselves are less than they seem, about $47,000 per plaintiff after legal fees. Still, the settlement is the latest effort by Wall Street to address what critics say are years of unequal and unfair treatment of female workers.

The lawsuit accused Goldman of stifling career advancement for women and paying them less than their male colleagues. They said they were giving them an opportunity.

Filed in 2010 By three former employees, the lawsuit was granted class action status in 2018 and targets a woman who held the title of associate or vice president in Goldman’s investment banking, investment management, and securities divisions. A trial was scheduled for June.

Shana Orrich, one of the original plaintiffs in the lawsuit, said in a statement, “I am proud to have supported this lawsuit without hesitation for nearly 13 years, and this settlement will allow me to do so.” I believe it will help the women who were thinking when I woke up.”

Jacqueline Arthur, Goldman’s head of human capital management, said the company “is proud of its long track record of promoting and advancing women, and is committed to ensuring a diverse and inclusive workplace for all employees.” We are still working on it,” he said.

Wall Street has attempted to address gender inequality and discrimination in recent years after facing a long list of complaints. paid $150 million In 1998, it sought to settle a lawsuit alleging it tolerated a hostile work environment, including wage discrepancies and derogatory language directed at women.

Since becoming Goldman’s chief executive officer, David Solomon says he’s trying to increase diversity at the company. aim setting How many of the new recruits should be women? Last year, the bank said a record 29% of its new class of highest-ranking partner managing directors were women.

Beyond payments, the settlement would allow Goldman to hire independent experts to review its performance review process, conduct a three-year pay equity review, and change the way it presents career advancement cases to vice presidents. It is stipulated.

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