Christina Spicer  |  June 27, 2019

Category: Labor & Employment

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Macy's department store

UPDATE: On Sept. 3, 2020, Macy’s agreed to settle a class action lawsuit over its hiring practices by paying out $1.8 million and making a promise to revise its background check policies.


An advocacy group has hit Macy’s with a class action lawsuit alleging the retailer discriminates against job applicants because of their race.

The Fortune Society, along with plaintiff Jenetta Rolfer, claim in the Macy’s class action lawsuit that the retail chain uses old and minor convictions on job applicants’ records to systematically reject Blacks and Latinos.

Further, Macy’s reportedly uses unrelated issues on job applicants’ background checks to deny job applicants, even before they have made an offer of employment. Fortune alleges that Macy’s has violated Title VII of the Civil Rights Act and New York state law.

Fortune is a nonprofit organization based on West Harlem, N.Y. Its mission is to help those who have been incarcerated to reenter society.

“Through this lawsuit, Fortune seeks equal opportunity for its participants to compete for jobs, lateral positions, and promotions at Macy’s without facing the discriminatory barriers of Macy’s invalid and unreliable criminal history screening policies and practices.”

Rolfer says that she was hired to work at a Macy’s call center in Florida. However, the company did a background check on Rolfer and, according to the Macy’s class action lawsuit, a misdemeanor conviction resulting from decade-old traffic incident lead to Rolfer losing her position.

“Macy’s’ discriminatory criminal history screening policies and practices have a disparate impact on Black and Latino people who, as a result of systemic racial discrimination, constitute a demonstrably overrepresented segment of the criminal justice system population,” alleges the Macy’s class action.

According to the Macy’s class action lawsuit, Black and Latino people are subject to higher incarceration rates because of widespread discrimination in the criminal justice system. “Black people are arrested and incarcerated for crimes at higher rates than whites, relative to their share of the national population,” states the complaint.

“Macy’s’ criminal history screening policies and practices, which deny job opportunities to qualified individuals with convictions that are unrelated to the positions at issue or too old to support a determination that the individuals could not safely and effectively perform their jobs, have a significant and detrimental impact on Black and Latino applicants and employees, based on their race and/or national origin,” contends the class action lawsuit.

In a statement to Top Class Actions, Macy’s Chief Diversity Officer Shawn Outler says “Macy’s, Inc. is committed to an inclusive work culture that supports our company’s core values – Acceptance, Integrity, Respect and Giving Back. We believe we are strongest when all aspects of our business reflect the diversity of the customers and communities we serve. Company-wide, approximately 60% of our colleagues are ethnic minorities and approximately 75% are women.”

Fortune contends in its Macy’s class action lawsuit that the company is also in violation of New York City’s Human Rights Law. The Human Rights Law was enacted in part to encourage the employment of those previously convicted of minor crimes.

“The ability to find employment is an essential aspect of reentering society for people with criminal histories. Recidivism declines when those individuals have viable employment prospects and other stabilizing resources in their communities,” alleges the Macy’s class action.

The plaintiffs argue that despite knowing its obligations under the New York law, Macy’s continues to unfairly deny positions to those convicted of minor offenses, disproportionately affecting the Black and Latino communities.

However, Outler explains that “We are committed to ensuring the safety and security of our colleagues and customers, securing proprietary business information, and safeguarding confidential customer, colleague and company data. All Macy’s, Inc. senior executives, Credit and Customer Service (MCCS), asset protection and fine jewelry colleagues, as well as certain support roles, are required to complete third-party background screening. For all other job functions, we are consistent in our approach to the consideration of criminal history in adherence with EEOC guidelines, as well as applicable local and state laws, and consider, among other things, the requirements of the job, the amount of time that has elapsed, and the nature of any offenses.”

The Macy’s class action lawsuit is seeking a court order that would prevent the company from engaging in its allegedly discriminatory behavior, along with statutory and punitive damages.

The plaintiffs are represented by Ossai Miazad, Lewis Steel, and Cheryl-Lyn Bentley of Outten & Golden LLP, Rachel Kleinman, Coty Montag, and Sparky Abraham of the NAACP Legal Defense and Educational Fund, and Michael Pope, Eric Eingold, and Dale Ventura of Youth Represent.

The Macy’s Class Action Lawsuit is The Fortune Society Inc., et al. v. Macy’s Inc., Case No. 1:19-cv-05961, in the U.S. District Court for the Southern District of New York.

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