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Boeing Settles Discrimination Lawsuit for $72.5 Million

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Case ID: 4538 | Employment | 11/15/2005

The Boeing Co. has agreed to pay $72.5 million to thousands of women to settle a class action action sex-discrimination lawsuit. The lawsuit, filed in 2000, alleged a pattern of discrimination at Boeing. The payout, revealed in documents filed Thursday in U.S. District Court in Seattle, is the maximum allowed under a settlement agreement that won preliminary approval from a federal judge last year.

As part of the deal, Boeing admitted no wrongdoing but agreed to change its hiring, pay, promotion practices and how it investigates employee complaints.

If the plaintiffs' motion for speedy payment is granted, checks could be in the mail to some 17,960 current and former female Boeing employees by Christmas 2005.

Otherwise, the aerospace titan has until Jan. 14 to pay a court administrator, who will then issue checks to class members according to seniority and position.

In all, more than 20,000 current and former female employees out of a potential pool of 29,000 alleged Boeing discriminated against them at Seattle-area plants between 1997 and 2000. Of those claims, nearly 2,400 were thrown out for filing irregularities, including failure to meet a May 3, 2005, deadline.

According to company documents obtained by the plaintiffs, women typically earned $1,000 -$2,000 less each year than men for similar jobs over time by the company's policy of calculating pay raises based on an employee's salary.


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