Goldman to pay $215M to settle discrimination lawsuit filed by female employees

By Pete Gannon

On May 9, 2023

Goldman Sachs has agreed to pay $215 million to settle a class-action lawsuit alleging discrimination against women going back over a decade in areas of pay, promotion and performance evaluation.

What they’re saying: “My goal in this case has always been to support strong women on Wall Street,” plaintiff Allison Gamba said in a statement. “I am proud that the result we achieved here will advance gender equity.”

Details: The settlement covers roughly 2,800 female associates and vice-presidents employed in the firm’s investment banking, investment management, or securities divisions both in New York and other offices across the U.S., according to a joint statement from Goldman and the plaintiffs on Tuesday.

• The trial was set to begin June 7.

Between the lines: In addition to the monetary piece, Goldman has agreed to hire an independent expert to analyze its processes for performance evaluations, as well as for promotions from the vice-president to managing director levels.

• An independent expert will also conduct additional pay equity studies for the firm, and Goldman will be required to investigate and address gender pay gaps, where appropriate.

Of note: Plaintiffs filed the initial complaint in 2010, although the case wasn’t certified as a class action until 2018.

What others are saying: “Goldman Sachs is proud of its long record of promoting and advancing women and remains committed to ensuring a diverse and inclusive workplace for all our people,” Jacqueline Arthur, Goldman Sachs’ global head of human capital management, said in a statement.

• “After more than a decade of vigorous litigation, both parties have agreed to resolve this matter. We will continue to focus on our people, our clients, and our business.”

This piece was republished from Axios.