St. Louis, IL: (Jul-12-07) A class action federal lawsuit was filed against Walgreen Co. by the US Equal Employment Opportunity Commission (EEOC) in March 2007, alleging that the Deerfield, IL company discriminated against thousands of black workers in hiring and assignment decisions. The lawsuit stemmed from complaints that originated in St. Louis, Kansas City, Detroit and Tampa. But EEOC officials in St. Louis said they found evidence of the same trend around the country. The EEOC's lawsuit was consolidated in East St. Louis with a private suit filed on behalf of Walgreen employees.
In a settlement reached, the nation's largest drugstore chain agreed to pay $20 million to settle the federal lawsuit. The settlement deal still needs a judge's approval, but both the EEOC and Walgreen have agreed to it. The proposal was filed in US District Court in East St. Louis, IL. The settlement amount will be split among lawyers who handled the case and the class of between 7,500 and 8,000 of Walgreen's employees who were affected by the company's policies. [FORBES: RACIAL DISCRIMINATION]