Confidential
Settlement – $40,000,000Judge
Court
USDC Northern
Attorneys
Plaintiff
Julie A. Su
(US Department of Labor)
Thomas A. Saenz
(Mexican American Legal Defense and Educational Fund)
Kelly M. Dermody
(Lieff, Cabraser, Heimann & Bernstein LLP)
Defendant
Experts
Plaintiff
Mark Bendick Jr.
(technical)
Richard Drogin
(technical)
Facts
The plaintiffs alleged that Abercrombie & Fitch Stores Inc. implemented an appearance policy that required
brand representatives to fit the "A & F Look," which was predominantly white and collegiate. The plaintiffs
alleged that several Asian-American, Latinos and African-American brand representatives were not hired,
terminated and/or transferred to behind-the-scenes positions, in favor of white applicants and employees. A
class of plaintiffs, comprising former employees and prospective job applicants of the company's retailer,
Abercrombie & Fitch, filed claims with the Equal Employment Opportunity Commission. The EEOC issued a
letter of determination alleging that, "Latinos and Blacks, as a class, were denied permanent positions, denied
assignments and treated in an unfair manner with regard to recruitment based on their race and national
origin."
Damages
The plaintiffs claimed damages resulting from the company's denial of employment on the basis of their race and ethnic origin.
Result
Judge Susan Illston approved to the class members and further compensation to class counsel as attorney fees and costs a settlement on Nov. 16, 2004. The retailer agreed to pay $40 million and, pursuant to a preliminary consent decree, to institute benchmarks for the hiring and promotion of Latinos, African-Americans, and Asian-Americans. The consent decree, which may remain in effect for six years after its approval, provides for increasing hiring of minorities and women in stores nationwide, the hiring of a new vice president for diversity, and 25 recruiters who will seek out minority employees and pursue initiatives for increasing minority representation within the company. The company agreed not to use enrollment in particular colleges or membership in any particular sorority or fraternity as hiring criteria. Abercrombie agreed to reflect diversity in its marketing materials taken as a whole, but did not agree to give any party the ability to change its marketing materials or the photographs or models it uses for those materials.
For reprint rights or to order a copy of your photo:
Email
jeremy@reprintpros.com
for prices.
Direct dial: 949-702-5390