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Walmart Gender Discrimination Case Study

Betty Dukes sued Walmart for gender discrimination, alleging she was denied promotions and paid less than male counterparts despite good performance reviews. She was joined by five other women in filing a class action lawsuit against Walmart, claiming company-wide discrimination against women in pay and promotions. Walmart defended itself, arguing each case should be considered individually and any discrimination was isolated, not systemic. However, statistics showed women comprised two-thirds of hourly employees but less than 14% of store managers, indicating a pattern of discrimination.

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0% found this document useful (0 votes)
71 views7 pages

Walmart Gender Discrimination Case Study

Betty Dukes sued Walmart for gender discrimination, alleging she was denied promotions and paid less than male counterparts despite good performance reviews. She was joined by five other women in filing a class action lawsuit against Walmart, claiming company-wide discrimination against women in pay and promotions. Walmart defended itself, arguing each case should be considered individually and any discrimination was isolated, not systemic. However, statistics showed women comprised two-thirds of hourly employees but less than 14% of store managers, indicating a pattern of discrimination.

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Shreshtha Shah
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We take content rights seriously. If you suspect this is your content, claim it here.
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  • Ethics Case Analysis Introduction
  • Case Description
  • Walmart’s Defence
  • Critical Perspective
  • Personal View
  • Conclusion and References
  • Plagiarism Report

ETHICS CASE ANALYSIS ON – SEX

DISCRIMINATION AT WALMART

COURSE NAME-
ETHICAL ISSUES IN
MANAGEMENT

SUBMITTED TO-
PROF. ABHAY BHAT

SUBMITTED BY-
SHRESHTHA SHAH
ROLL NO.- J002
SAP ID- 80511020008

DATE OF SUBMISSION-
08-10-2020

1
Case Facts-
Introduction-
This case majorly talks about the gender discrimination meted out at female
employees when it comes to wage pay and promotions as compared to male
counterparts.
Betty Dukes joined Walmart as a Cashier in California. Owing to her good
performance reviews, she was soon promoted to a Customer Service Manager
within three years. Soon thereafter, she started facing gender discrimination
from her store manager and complained the dame to the District Manager; and
this complaint had taken a huge toll on her whereby she was demoted to the
position from where she had initially started, accompanied by reduction in
wages as well. Whenever there were openings, it was usually filled by a man,
without the opening even being posted. There was no sort of support or
encouragement from the senior authority in terms of opportunities.

Suing for Discrimination-


In 2001, Betty was joined by five other female workers to jointly file a
complaint against Walmart for discrimination against women. Their charges
were based on the fact that not only did the local Walmart stores show such
discrimination, but it was prevalent against all female employees in the past five
years.
Although the suit was filed by six women on the charges of discrimination on a
personal basis, the evidence that sex-discrimination prevails in Walmart can be
seen from the statistical data of the distribution of female employees and their
position in the company. The female employees alleged that they were less
likely to be promoted compared to their male counterparts. There was a
discrimination even in the pay structure, that lagged behind that of men.
According to the executives of Walmart, the company has a strict policy against
gender bias, and there is hardly any evidence against the store managers who
exhibited this bias consciously. The company has uniform procedures for all
stores in terms of hiring, training, job assignments, pay and promotion, and
ethics. The company also has a unique corporate culture, the “Walmart Way”,
that is strongly fostered amongst its employees. The company evaluated
employees based on their understanding and commitment to the Walmart Way.

2
Walmart’s Defence-
Walmart objected vigorously and defended itself against the charges of gender
discrimination, to bring the lawsuit for all female employees. The company said
that the suit should seek to redress the charges claimed by the six women in
their respective cases, who were victims of sex discrimination. Moreover, each
of the six women’s cases are different, hence the company should be allowed to
defend itself on the basis of each case. It also stated the importance of giving
leeway to the store managers to make decisions in response to local situations,
as it is the largest private employer in the United States, and it has more than 1
million employees and approximately 3400 domestic stores. With so many
decisions that has to be made, they might have faltered in some cases, but
Walmart insisted these local problems does not indicate an issue with the
company’s policies and procedures.
Walmart also defended itself by saying that one should not extrapolate the
wrongs that happened in these six cases to generality of the entire company. Just
because some women were victims of discrimination does not mean that all the
female employees also faced the same issue. Walmart also submitted proof from
its company details showing that there are no significant gender disparities in
almost 93 percent of the stores. These studies also showed that males were
favoured in only 5 percent of the stores, whereas females in the remaining 2
percent of the stores. The company concludes by saying that based on the
evidence that it provided, if at all any discrimination had occurred, it was not
system-wide, but sporadic and widely varied.
Finally, Walmart contended that discrimination is a problem that is prevalent in
the larger part of the society, and the company should not be expected to solve
this issue alone. It also gave examples stating that the departments of
kitchenware and child’s clothing might be their own discretion and preference.
A company spokesperson also said that such societal issues should not be
confused with Walmart practices. It also said that women might have a
comparatively lesser interest in a managerial position, by giving an example that
only 12 percent of females applied when there was a vacancy of 17 percent for
positions. The company said that it is difficult to identify the causes of the
disparities and correct it.

3
Critical Perspective-
Key Issues-
This pattern of discrimination based on the type of work, pay structure, training,
and future opportunities is not the result of non-discriminatory factors. Rather, it
is because of an on-going and continuous practice of intentional gender
discrimination. Plaintiffs are informed and believe that such policies and
practices include, but not limited to:
a. Not posting promotion openings, thereby leading to failure to ensure that all
employees are well informed of an opportunity to seek promotion and desirable
assignments and training.
b. Having an unweighted and subjective criterion utilized by almost all male
managerial workforce in making assignments, training, pay, performance
review and promotional decisions. Even where the company policy states
objective requirements, these requirements are often applied in an inconsistent
manner and ignored at the discretion of management.
c. Bias based on gender stereotypes while making employment decisions such
as assignments, promotions, pay and training.
d. Pre-bias and “grooming” of male employees for promotion, favourable
assignments and training.
e. Maintenance of job categories and departments based on gender-segregation.
f. Deterrence and discouragement of female employees from seeking
recognition, advancement, training, and preferred assignments and pay.
g. Lower wage compensation to female employees when compared to similarly
situated men.
h. Assigning females to low paying positions, and positions with lesser scope of
advancement than those given to men, and advancing women more slowly
compared to the similarly situated male employees.
i. Providing less training to women employees and managers as compared to
that given to male employees and managers.
j. Harassment to female employees with regards to promotion and subjecting
them to a biased and hostile work environment.
k. Having a pre-requisite with regards to advancement to management jobs, that
employees should be willing to relocate, often to significantly distantly located
stores, and applying this policy to require frequent and substantial relocations of
its managers without any reasonable justification. Plaintiffs are further informed

4
and they believe that the relocation policy is applied disparately between male
and female employees, more-so to the disadvantage of female employees.
l. Retaliating against those women employees who have complained either
internally or externally about Walmart’s treatment meted to them. Walmart
maintains a toll-free telephone number for all the employees of the company,
which it encourages them to use if they have a problem or grievance in their
store or with the store management. Plaintiffs are informed and believe that
Walmart retaliates against women who use this number to report discrimination,
sexual harassment or other unfair working conditions.

Betty Dukes had raised her voice to fight for equal rights and also against
gender discrimination in the workplace. This lawsuit was filed by her in 2001
on behalf of 1.6 million women who had worked at Walmart between 1996 and
2001. Apart from other discriminatory practices pertaining to labour, Walmart
was also accused of paying females less than the male counterparts, and not
considering women for promotion.
Through this case, Ms Duke helped me draw my attention towards the working
condition of the low-paid workers in the so-called huge stores that rule over the
retail landscape.
Despite her good performance reviews and the amount of hard work put in by
her for six years, she was denied from the opportunities to advance in her
career. This reflects on the corporate culture of Walmart where a pattern of
company-wide gender discrimination can be seen.

Personal Views-
From the company statistics, it is evident that women comprised two-thirds of
the hourly employees, but made up less than 14 percent of store managers.
Apart from being paid lesser compared to their male counterparts, if at all they
received a promotion advancement, it was at a very slow pace and at a later
stage. After she complained to the District Manager about this discrimination
meted out to her from the head of her department and the store manager, she
was retaliated by them and was demoted back to the position of a cashier.
According to me, even if they did not wish to get her promoted, they were
wrong when it came to demotion and reduce her wages and hours.
In many local stores, the open positions and promotion opportunities were not
even made known. Many job categories had identified male and female lines of
work. Females were mostly put into departments such as child’s clothing and
kitchenware, which were considered of lesser importance. They were not even

5
rotated across various departments so as to get experience and recognition. All
of these reasons discouraged women to submit an application for higher
position as they knew they barely stood a chance of getting selected. Also, the
promotions that were offered to women were highly disproportionate in the
sense that it required them to transfer elsewhere.
The company is also seen putting the entire blame on the society at large, to
wipe off the charges against it. I would agree that this is a societal problem, but
as a company, it should keep a check on the employee grievances. Instead, it
chose to ignore to such levels that low-class labour female (speaking of Betty
Dukes) was demoted and had a decline in the wages.
If I put myself in the shoes of the protagonist, I would have adopted the same
measures and filed charges against the company. The company, despite being
the largest private player in the retail sector, failed and chose to ignore the
employee grievances of female employees. It even started making assumptions
that the females might not be interested in a managerial position, without
getting into the nitty-gritties. The company could have carried out a survey,
before making such false assumptions. Even when the women tried to voice
their grievances to the higher authorities, they were shunned down. This is
something which is not acceptable by any firm, especially from such a giant
player. Moreover, the company is not ready to find a corrective action to the
discrimination that was found out, but on the contrary, keeps blaming it on the
society and is not willing to take the onus of the disparate composition of its
managerial workforce.

References-
[1] Ethics and The Conduct of Business, 8e, John R. Boatright, Jeffery Smith
[2] [Link]
dukes/

6
Plagiarism Report-

Source- [Link]

No. of words- 1800

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Betty Dukes, along with five other female employees, filed a lawsuit against Walmart alleging systemic gender discrimination. The main allegations included discrimination in promotions and pay compared to male counterparts. They argued that even when openings were available, they were often filled by men without being posted, reducing opportunities for women. There was also a claim of biased assignment to gender-segregated departments with lower advancement prospects for women . They accused Walmart of having unwritten policies and practices that favored male employees for promotions, labeled as "grooming," and alleged that pay structures were also biased against women .

Betty Dukes' lawsuit brought significant attention to the working conditions faced by women in low-wage retail positions. By filing on behalf of 1.6 million women, she highlighted the systemic nature of gender discrimination at Walmart, which resonated with broader societal issues regarding women's rights in the workplace. Her case drew public awareness to the disparities in wages and promotional opportunities as well as the challenges women face in seeking equal treatment and advancement in large retail corporations . It underscored the need for systemic change and scrutiny in employment practices affecting low-paid female workers.

Plaintiffs in the lawsuit claimed that systemic practices at Walmart contributing to ongoing gender discrimination included the failure to post promotion opportunities, leading to uninformed employees about career advancements, and the usage of subjective criteria for making assignments and promotions by a predominantly male managerial workforce. They also cited perpetuation of gender stereotypes in employment decisions, "grooming" males for promotions, salary disparities, assigning women to lower-paying positions, and providing less training to female employees . These practices created a biased and hostile work environment that discouraged women from seeking advancement or reporting grievances .

Walmart defended itself by asserting that the claims from the lawsuits were isolated incidents and not indicative of systemic issues. The company argued that it had strict policies against gender bias and that any discrepancies were due to local management decisions rather than company-wide practices. Walmart presented statistical data showing no significant gender disparities in about 93% of its stores, with only 5% of stores favoring males and 2% favoring females . They further argued that decisions should be made regarding specific cases, and societal discrimination should not be conflated with their practices .

Walmart's relocation policies were a contentious issue in the gender discrimination lawsuit. The policy required employees to be willing to relocate, sometimes to distant locations, as a prerequisite for advancement to management jobs. This was applied more stringently against female employees, who were disproportionately affected due to societal and familial roles. Plaintiffs claimed that this policy was used to disadvantage women, who might be less able to relocate due to such responsibilities, effectively limiting their career advancement compared to male colleagues . Consequently, the relocation policy was argued to perpetuate gender inequality.

Walmart's corporate culture, known as the "Walmart Way," was seen as a contributing factor to the claims of gender discrimination. The company's culture heavily emphasized conformity to established norms and procedures, potentially sidelining individual employee grievances. Employees were evaluated based on their understanding and commitment to this culture. The plaintiffs argued that this culture, while promoting uniformity, enabled biased practices by allowing subjective judgments in promotions and pay that favored males, without adequate oversight or transparency . This culture potentially reinforced existing biases and discrimination rather than challenging them.

The allegations against Walmart included claims of gender-segregated job roles contributing to discrimination. Women were often assigned to roles in departments like child’s clothing and kitchenware, which were perceived as less prestigious and had limited advancement opportunities. This entrenched gender-segregated roles within the company, limiting women's career progression and perpetuating gender pay disparities. Such practices were seen as part of a broader pattern where male employees were groomed and prepared for roles with greater responsibility and better pay . This contributed to creating a divide in opportunities based on gender, forming the basis of the discrimination allegations.

Walmart's defense argued that societal issues of gender discrimination should not be confused with the company's practices. They contended that while gender discrimination is a pervasive societal problem, it isn't accurate to single out Walmart as responsible for solving this issue alone. Walmart was presented as acknowledging sporadic discrimination cases but insisted these did not equate to a system-wide issue within the company. The defense highlighted that some positions were filled based on gender interest, such as in departments like kitchenware that might have culturally attracted more women .

According to the lawsuit, female employees who complained about discrimination faced negative consequences, including retaliation and demotion. Despite the existence of a toll-free number for reporting grievances, it was alleged that women who used it to report discrimination, sexual harassment, or other unfair practices were subjected to retaliation. This included demotion, reduced wages, and being assigned less favorable work conditions . Such retaliatory actions discouraged employees from voicing legitimate grievances and maintained a culture of silence and compliance, exacerbating the problems of systemic discrimination within the company.

The statistical evidence played a crucial role in interpreting the gender discrimination claims. Walmart used statistical data to argue that a majority of its stores did not exhibit significant gender disparities, pointing out that 93% of stores had no significant disparity, and only a small percentage discriminated against females in favor of males. These statistics were used to challenge the plaintiffs' claim of systemic issues across the company and suggested that the experiences in question were isolated cases rather than reflecting company-wide policy . However, the discrepancy between these statistics and the plaintiffs' claims highlighted complexities in quantifying systemic discrimination through numbers alone.

ETHICS CASE ANALYSIS ON – SEX
DISCRIMINATION AT WALMART
COURSE NAME-
ETHICAL ISSUES IN
MANAGEMENT
SUBMITTED TO-
PROF. ABHAY B
Case Facts-
Introduction-
This case majorly talks about the gender discrimination meted out at female 
employees when it come
Walmart’s Defence-
Walmart objected vigorously and defended itself against the charges of gender 
discrimination, to bring th
Critical Perspective-
Key Issues- 
This pattern of discrimination based on the type of work, pay structure, training,
and fut
and they believe that the relocation policy is applied disparately between male 
and female employees, more-so to the disadva
rotated across various departments so as to get experience and recognition. All 
of these reasons discouraged women to submit
Plagiarism Report-
Source- https://searchenginereports.net/plagiarism-checker (https://searchenginereports.net/plagiarism-che

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