Last week, a federal judge in San Francisco granted class-action status to a lawsuit charging that approximately 10,000 African-American and Latino employees in FedEx Corp.’s western region were discriminated against on the basis of pay, discipline, and promotions. The company’s western region covers Alaska, Arizona, California, Colorado, Hawaii, Idaho, Montana, Nevada, New Mexico, Oregon, Utah, Washington, Wyoming, and parts of Texas.
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The suit alleges that FedEx Express, a unit of FedEx Corp., provided minority employees with disproportionately fewer promotions to certain driving positions; compensated minority workers less for the same work than similarly situated non-minority workers, and disciplined minority employees more frequently and more harshly than similarly situated non-minority counterparts for the same offenses. A key effect of the discriminatory practices, according to the suit, is that the highest percentage of minority employees are stuck in hourly positions (such as handler positions) and that the representation of minorities drops at each step up the promotions ladder.
FedEx is considering whether to appeal the class certification order. We’ll keep you posted.