LAWSUITS NEWS & LEGAL INFORMATION
Amtrak Settles Employment Class Action for $1.99M
This is a settlement for the Employment lawsuit.
New York, NY: A nine-year-old employment class action lawsuit against Amtrak has been settled, with final approval granted for a $1.99 million settlement fund. The lawsuit was between Sharyn Stagi, Winifred Ladd and those similarly situated and the National Railroad Passenger Corp., also known as Amtrak.
The lawsuit was filed against Amtrak in October 2003, alleging company policy requires all union employees to have one year of service in their current position before they could be considered for promotion. The plaintiffs' claim was that the policy had a disparate impact on female union employees, a violation of Title VII of the federal Civil Rights Act.
Specifically, the class action alleged that the employment policy prohibited newly-hired union employees, including experienced managerial employees such as the plaintiffs, who have moved into union positions from management as a result of layoffs, from bidding for management positions during the first calendar year that the employee occupied such a position.
"This prohibition burdens female employees more than men, given the fact they are more vulnerable to layoff and reassignment to union positions, and thus has the effect of excluding a disproportionate number of otherwise qualified female employees from bidding for and filling management positions,"the original complaint read. "There is no business justification for Defendant' policy."
Each named plaintiff in the case will receive a settlement of $50,000 for a total of $1,990,000 for the class, which is estimated to include 5,383 members.
The settlement includes injunctive relief and means the elimination of Amtrak' so-called "One Year Rule,"which, according to the judicial order states, will also benefit future, unionized Amtrak employees.
Published on Jul-10-12
The lawsuit was filed against Amtrak in October 2003, alleging company policy requires all union employees to have one year of service in their current position before they could be considered for promotion. The plaintiffs' claim was that the policy had a disparate impact on female union employees, a violation of Title VII of the federal Civil Rights Act.
Specifically, the class action alleged that the employment policy prohibited newly-hired union employees, including experienced managerial employees such as the plaintiffs, who have moved into union positions from management as a result of layoffs, from bidding for management positions during the first calendar year that the employee occupied such a position.
"This prohibition burdens female employees more than men, given the fact they are more vulnerable to layoff and reassignment to union positions, and thus has the effect of excluding a disproportionate number of otherwise qualified female employees from bidding for and filling management positions,"the original complaint read. "There is no business justification for Defendant' policy."
Each named plaintiff in the case will receive a settlement of $50,000 for a total of $1,990,000 for the class, which is estimated to include 5,383 members.
The settlement includes injunctive relief and means the elimination of Amtrak' so-called "One Year Rule,"which, according to the judicial order states, will also benefit future, unionized Amtrak employees.
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