Clothing retailer Abercrombie & Fitch Co. has agreed to settle three lawsuits alleging the company discriminated against minority workers, the San Francisco Chronicle reports.
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Download NowThe company says it has signed a consent decree settling the closely watched lawsuits, and pending
court approval, the company would pay an aggregate amount of nearly $50 million to settle
the lawsuits. The company made the announcement in an earnings report.
Two of the lawsuits are private class-actions. In the lawsuits, minority workers accused the company of giving white employees preferential treatment in job assignments and work schedules, the newspaper notes. In addition, the plaintiffs accused the company of cultivating an all-white
image.
The third lawsuit came from the U.S. Equal Employment Opportunity Commission, which accused the company of discriminating against applicants.
The newspaper notes that it is unclear whether the company admitted any wrongdoing in settling the cases, but the company said it wanted to avoid a lengthy legal battle.
The company says it has hired a vice president of diversity.
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