In order to resolve a long-running class-action lawsuit alleging that the Wall Street firm paid women less than men, Goldman Sachs has agreed to pay $215 million.
One of the biggest investment firms in the world, Goldman Sachs, reached a settlement with the attorneys for roughly 2,800 female vice presidents and colleagues.
In the action, which was scheduled to go to trial in July, it was claimed that Goldman Sachs underpaid women relative to men, gave them less favourable performance evaluations, and failed to promote them.
The initial lawsuit was brought in 2010 by women who had worked for the investment bank.
The bank will work with an outside expert for three years as part of the settlement to guarantee that it provides “accurate, reliable, and non-biased outcomes” for employees.
Shanna Orlich, one of the initial plaintiffs, expressed her belief that the settlement will assist progress the careers of women at the Wall Street bank.
She added, “Over the past almost thirteen years, I have proudly and unapologetically supported this cause, and I hope this settlement will help the women I had in mind when I filed the complaint.
According to Goldman Sachs, maintaining a diverse and inclusive workplace is a priority.
The dispute has been resolved after more than ten years of contentious litigation, according to Jacqueline Arthur, the bank’s worldwide head of human resource management. We will keep putting our customers, employees, and business first.
What was the verdict in the Goldman Sachs case?
According to a press release, women at Goldman Sachs filed a lawsuit in 2010 alleging that the Wall Street firm discriminated against women and did so in violation of both the New York City Human Rights Law and Title VII of the Civil Rights Act of 1964.
Plaintiffs cited data from women and their solicitors as evidence that the bank had discriminated against them in terms of pay, promotion opportunities, and evaluation of female workers’ work performance.
The judge also took hearsay accounts of a “hostile” work environment at Goldman Sachs into account.
In the settlement, Goldman Sachs refused to acknowledge any wrongdoing and said the bank had not broken any laws.
Is the workplace unfriendly at Goldman Sachs?
Women claim in court documents that they were denied promotions and subjected to unfair performance evaluations because of their gender, despite, in at least one instance, generating multimillion-dollar gains for Goldman Sachs.
Women recount several incidents of being treated differently than men and being excluded from meetings due to their gender.
Who must Goldman Sachs reimburse?
Women who held associate or vice president positions at Goldman Sachs and underwent certain employee performance assessments are covered by the settlement.
Any woman holding such positions who created income for Goldman Sachs in New York between July 7, 2002 and March 28, 2023 may be eligible to receive class settlement compensation, according to the bank.
