Women Seek Class Action Suit Against Goldman Sachs for Discrimination

Have female employees been getting a raw deal at Goldman Sachs? Some of the employees think so and have requested a class action status to pursue a lawsuit against Goldman Sachs. A gender bias suit against the company was started by Cristina Chen-Oster, former VP, Lisa Parisi, former managing director, and Shanna Orlich, former trading associate.

Ms. Chen-Oster notes that in 2000 her salary at Goldman Sachs was $800,000. She claims this salary was "at least 50% less than her male counterparts," reports the New York Times. A salary 50% less than men doing the same job would be very upsetting indeed.

It is never fair or legal to pay men and women doing the same job such different level salaries. Did Goldman Sachs have a pattern of lack of equity in salary for men and women doing the same job? How sordid if so.

Goldman Sachs: Only 14% of Partners are Women

The female employees feel that Goldman Sachs has an "outdated corporate culture that systematically deprived them of pay and promotions available to men," reports the New York Post. Right now at Goldman Sachs females are 14% of partners, 17% of managing directors, and 29% of vice presidents. It seems like the company could try harder to ensure that women have an opportunity to achieve at high levels in the company.

So does Goldman Sachs have a habit of discriminating against women? I would not be surprised. Wall Street companies do have a reputation for not being all that women friendly. And this industry spawned the famous line "Don't Pitch the Bit-h" from the movie "Boiler Room." (the incomplete word rhymes with witch)

That line certainly isn't flattering to women. It implies that women don't have buying power or the intellect to make stock buying decisions.

Is Goldman Sachs part of an overall culture of Wall Street that too often derides women? It the boy's club at Goldman Sachs still hard at work at keeping women down low on the corporate ladder? It is discouraging to think that Goldman Sachs, even in today's world could be paying men more than women and giving them more opportunities for career advancement.

Bad Publicity for Goldman Sachs

Goldman Sachs has already been in the news a lot for subprime mortgage debacle that may have contributed to the fiscal crisis in America. Now this discrimination suit brings even more bad publicity to Goldman Sachs. Doesn't the company realize that if you don't have enough women in high level positions it hurts the company because women don't like to do business with a firm that eschews fair treatment of females?

It looks like Goldman Sachs has some major explaining to do. And in the interim it has a lot of bad publicity to deal with. Will the women win this lawsuit? I will hazard a guess that they will. Companies get away with what they can until someone forces them to change a toxic environment. From the claims the women are making it sounds like a big broom is needed to sweep all the discrimination out of Goldman Sachs.

Good luck ladies!

Sources:

http://www.nypost.com/p/news/business/women_sue_goldman_for_alleged_discrimination_7y99M9trtVItIJ3dLWzcIP

http://dealbook.blogs.nytimes.com/2010/09/15/women-sue-goldman-claiming-bias-in-pay-and-jobs/?hpw