Nike Class Action Alleges Gender Discrimination, Ignoring Harassment

A group of former female employees recently filed a Nike gender discrimination class action alleging that the retailer pays its female employees significantly less than male employees in violation of the Equal Pay Act.

Plaintiffs Kelly Cahill and Sara Johnston filed the class and collective action lawsuit against Nike Inc. over claims that the retailer discriminates in pay and promotion against women and ignores sexual misconduct complaints at its Oregon headquarters.

Cahill worked for the company for four years and allegedly witnessed widespread hostility towards women. She says she was paid less than her male counterparts, was not promoted due to her gender, and was harassed by male coworkers with no response from HR.

Johnston worked for Nike for almost 10 years and claims to have experienced similar gender discrimination. Additionally, she allegedly experienced harassment by a male coworker who repeatedly propositioned her and sent her nude pictures. Despite her complaints to HR, Nike reportedly did not take action.

“At Nike, the numbers tell a story of a company where women are devalued and demeaned. For many women at Nike, the company hierarchy is an unclimbable pyramid—the more senior the job title, the smaller the percentage of women. The inequity for women at Nike starts before they do, with decisions about starting pay,” the Nike gender discrimination class action claims.

Nike allegedly bases starting pay off of previous wages, capitalizing on the wage gap found all over the country. Although Nike recently pledged to stop collecting wage histories, many current and former women have reportedly been damaged by the practice.

The Nike gender discrimination class action also claims that the company rates their employees with a skewed system, resulting in women receiving lower rates than men. Rates allegedly determine promotions, benefits, and bonuses, causing women to be stuck in jobs “that Nike views as less valuable, less likely to lead to promotions and less likely to lead to increased compensation.”

Cahill and Johnston argue that Nike gender discrimination is in violation the Equal Pay Act as well as several Oregon laws including the Oregon Equal Pay Act and the Oregon Equality Act.

“The numbers don’t lie. On a global scale, currently 77 percent of Nike’s leadership team are men, 71 percent of its vice presidents are men and 62 percent of its directors and senior directors are men,” said plaintiff counsel. “I’ve represented more than 50 Nike employees and their experiences have been consistent with the plaintiffs’. The more senior the job title, the smaller the percentage of women.”

Cahill and Johnston seek to represent a Collective of current and former female employees of Nike at Nike Headquarters who worked for the company within the last three years.

The plaintiffs also seek to represent a Class of similar employees who worked for the company within the last two years. The Nike gender discrimination class and collective action seeks back pay, liquidated damages, exemplary damages, punitive damages, court costs, and attorneys’ fees.

Plaintiffs are represented by Laura Salerno Owens, David B. Markowitz, Harry B. Wilson and Anna M. Joyce of Markowitz Herbold PC, Laura L. Ho, Barry Goldstein, Byron Goldstein and Katharine L. Fisher of Goldstein Borgen Dardarian & Ho, Craig Ackermann of Ackermann & Tilajef PC, and India Lin Bodien.

The Nike Gender Discrimination Class Action Lawsuit is Cahill, et al. v. Nike Inc., Case No. 3:18-­cv­-01477, in the U.S. District Court for the District of Oregon.

UPDATE: The TCA Gender Pay Gap and Equal Pay Lawsuit Investigation is now open! If you’re a female employee making less than your male workplace counterpart, submit your information here.