Court gives final approval to $46 million Morgan Stanley sex bias settlement Wolters Kluwer Published: November 5, 2007 U.S. District Court Judge Richard W. Roberts of the District of Columbia gave final approval to a $46 million settlement of a sex bias class action filed by current and former female Morgan Stanley financial advisors and registered trainees (plaintiffs) employed from August 5, 2003 through June 30, 2007. The plaintiffs alleged that the New York-based brokerage firm engaged in “systemic company-wide discriminatory treatment” with respect to their compensation and promotion opportunities and other terms and conditions of their employment. … Judge Roberts’s final order, which was granted on October 26, 2007, confirmed that 31 of the 2,687 potential class opted out of the monetary portion of the settlement agreement without releasing any of their claims. In addition, Morgan Stanley will spend approximately $7.5 million on diversity efforts during the period of the settlement, which is for five years. … … “This is a bellwether settlement that not only will bring about genuine change at Morgan Stanley, but will also influence the entire industry,” said plaintiffs’ attorney Cyrus Mehri of Mehri & Skalet in Washington, D.C. “We are pleased with final approval of the settlement, which is designed to increase diversity and the professional success of our women Financial Advisors,” said Morgan Stanley spokesperson, Christy Pollak. |
