The US Supreme Court rejected a mammoth class-action lawsuit charging sex discrimination at Wal-Mart Stores Inc on Monday in a ruling that could affect major cases in other industries. The justices unanimously overturned a US appeals court ruling that more than a million female employees nation-wide could join in the lawsuit accusing Wal-Mart of paying women less and giving them fewer promotions and seeking billions of dollars.
The Supreme Court agreed with the giant American retailer that the class-action certification violated federal rules for such lawsuits. It accepted Wal-Mart's argument that the female employees in different jobs at 3,400 different stores nationwide and with different supervisors do not have enough in common to be lumped together in a single class-action lawsuit.
The ruling was a setback for women's groups, which have said a decision for the company could signal a significant retreat for women's rights in the workplace. It represented a major victory for Wal-Mart, which has also faced other legal battles, including an attempt to unionise and to block the giant retailer from opening stores in New York and other places. "We are pleased with today's ruling and believe the court made the right decision. Wal-Mart has had strong policies against discrimination for many years," the company said.
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