Diversity at Circuit City

Circuit City is one of the nation's largest consumer electronics retailers with operations in major metropolitan areas which have large concentrations of minorities. The company's success is based on offering low prices on brand name items, but the company suffered a significant public relations problem in the mid1990s when it was sued for discrimination against minorities. The lawsuits were eventually decided in favor of some of the plaintiffs, and a judge eventually ordered the company to implement a diversity program. This research examines the environment surrounding the discrimination lawsuits at Circuit City and considers the future direction of the organization in regard to diversity programs and discriminations.

The Washington Lawyers' Committee for Civil Rights and Urban Affairs filed suit on behalf of 11 workers in October 1995; other lawsuits were filed individually. Of the 11 original plaintiffs, the jury eventually find in favor of two, while finding for Circuit City in the case of a third. The lawsuit alleged that the company had discriminatory practices and procedures, and the jury agreed. A Circuit City management recruiter was awarded $225,000 in punitive damages and a former collections representative received $47,000 in punitive damages; both also received additional compensation with the total award reaching nearly $300,000 (Owens, 1996, p. 55).

In mid-1996, while the lawsuits were in progress, the NAACP called for a "s

Related Essays

Discrimination Lawsuits in Circuit City .... In the case of Circuit City, a diversity program might have prevented the judgments against the company since it would have provided tangible evidence that the .... (1865 7 )

Huntington National Bank Diversity Program .... The effects of not having a diversity program in place can be measured in terms of lawsuits; the case at Circuit City in the mid-1990s, which ultimately .... (3093 12 )

JONES V. JONES .... many issues as it has clarified." In recent years in diversity cases, the .... Likewise, in Baltimore City Circuit Court, plaintiffs were precluded from using RMS .... (2423 10 )

UNITED STATES v. VIRGINIA This research paper d .... The 4th Circuit had used in reviewing the adequacy of the .... of the state of Virginia to promote diversity of educational .... In Harlem in New York City, the city has .... (2599 10 )

UNITED STATES V. VIRGINIA This legal memorandum .... jewelry and makeup." The Court said in City of Cleburne .... While the 4th Circuit Court of Appeal agreed with the .... under an announced policy of diversity, to afford .... (3720 15 )

licants. The argument (used by companies other than Circuit City in defending their promotional activities with regard to women and minorities) is that as additional minorities and women enter the workforce and learn the requisite skills, they will be promoted accordingly. However, according to the argument, the effects of affirmative action and aggressive minority recruiting at the entrance level are only beginning to be felt, so there remains a lack of qualified candidates for senior management. With time, according to these arguments, the situation will improve (Ramst & Lee, 1996, p. B1). Reasons for Diversity Programs According to analysts, 47.5 percent of the work force will be women by the year 2000, and 29 percent of the net additions to the work force will be non-whites (Flynn, 1995, p. 72). This means that managers and executives will be under increasing pressure to establish diversity programs which recognize that the American work force is no longer a homogeneous group of white males, but rather a diverse combination of gender and ethnicities. Employees who find companies which foster diversity are more likely to remain in those organizations than in companies which do not recognize the importance that diversity

Category: Government - D