Saturday, January 2, 2010

Outback Steakhouse fined $21m for sex discrimination

OUTBACK Steakhouse has agreed to pay $US19 million ($21 million) to settle a class-action lawsuit alleging sex discrimination against thousands of women at hundreds of its US restaurants, the Equal Employment Opportunity Commission said.

The Australian-themed restaurant discriminated against female employees and denied them equal opportunities for advancement.

The lawsuit, filed by the EEOC in federal court in Colorado in 2006, said female employees couldn't get promoted to the higher-level profit-sharing management positions in the restaurants and were denied favorable job assignments, particularly kitchen management experience, which was required for employees to be considered for the top management job.

"There are still too many glass ceilings left to shatter in workplaces throughout corporate America," EEOC Acting Chairman Stuart Ishimaru said.

"The EEOC will continue to bring class lawsuits like this one against employers who engage in gender discrimination on a systemic scale."

In addition to the money, the settlement requires that Outback launch an online application system for employees interested in managerial and other supervisory positions; hire a human resource executive in the newly created position of vice president of people; employ an outside consultant for at least two years who will determine compliance with the settlement terms and analyse data from the online application system to determine whether women have equal opportunities for promotion.

Tom Flanagan, a joint venture partner, allegedly said female managers had "let him down" and "lost focus" when they had children, ABC's Denver affiliate reported.

He also allegedly said women managers had trouble "saying no" and expressed a desire for "cute girls" to work as servers.

A Denver attorney was the lead lawyer in the lawsuit.

The company had no immediate comment on the settlement

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