Nov

Dell Sued for $500 Million for Discrimination to Female Employees

Last week, four former senior Dell human resources executives filed a $500 million class action lawsuit against Dell claiming the company is guilty of systemic gender and age discrimination.

According to Channel Register, the lawsuit, "alleges Dell unfairly targeted women and employees over 40 in the big round of recent lay-offs, which sees 10% of staff worldwide – about 8,800 in total – losing their jobs. The cull will result in men holding 80% of management positions."

The lawsuit is intended to change Dell’s discriminatory practices related to pay, job placement, promotion and termination, and it asks for $500 million in damages for the thousands of former employees who are part of the class (made up of current and former Dell female managers and executives as well as older employees who were unfairly discriminated against during Dell’s huge 2007 and 2008 layoffs).

According to the actual lawsuit documents, Dell is referred to as an "old-boys network" citing the fact that none of the company’s 14 top executives are women. The lawsuit also alleges that distinct pay and promotion gaps exist within Dell because of the company’s discriminatory practices.

Ouch! What do you think? How will Dell defend themselves on this one? It looks like the statistics say it all here. It will be interesting to hear Dell’s response. So far, Dell’s representatives are simply saying the company doesn’t comment on pending litigation but they have stated that the lawsuit has no merit. Let’s wait and see, shall we?