Employees file racial discrimination suit against Best Buy chain 12-13-05

Employees file racial discrimination suit against Best Buy chain

By Scott Carlson
Pioneer Press
(December 9, 2005) For more than a year, Best Buy Co. has been touting "customer centricity" as a key tool for growing sales and earnings. The new marketing strategy targets different types of customers.

But customer centricity now is at the center of a federal lawsuit that accuses the Richfield-based consumer electronics chain of racial and gender discrimination in its hiring, pay and promotion practices.

In their complaint, filed Thursday in San Francisco, four current Best Buy workers and two former employees allege the retailer favors white men with the company's best sales jobs and better pay than it offers women and minority workers.

Best Buy spokeswoman Susan Busch denied the allegations, contending they are inconsistent with Best Buy's policies, values and a corporate culture that provides a workplace free of discrimination.

"We do not tolerate discriminatory practices," Busch said.

But the plaintiffs allege Best Buy's employment practices reflect a corporate culture that stereotypes race and gender. It notes that Best Buy's initial four targeted consumer archetypes in its customer centricity program are mostly males "with Anglo-sounding names."

The customer types in question are called "Barry," for wealthy professional males; "Buzz" for young, techno-savvy males, and "Ray," a typical family man interested in electronic gadgets. The only customer segment focusing on women is the so-called "Jill" shopper, a stay-at-home soccer mom, the lawsuit notes.

It also alleges that, "The corporate culture of racial and gender stereotypes permeates Best Buy and its predominantly white male management force."

But Busch countered that the plaintiffs' attorneys were "misconstruing" Best Buy's marketing program. "Customer centricity is all about providing the products, services and experiences that match the individual priorities and lifestyles of customers," she said.

Eve Cervantez, an attorney for the Best Buy plaintiffs, estimated that less than 10 percent of the retailer's U.S. store managers are women. She said that is less than Wal-Mart Stores, which also is embroiled in sex discrimination litigation.

Cervantez said it is too soon to know how many Best Buy employees might come become a part of the lawsuit if it wins class-action status or how large damages might be. But with a work force of more than 100,000 at its 730 namesake stores, Best Buy possibly could face scores of plaintiffs and damages topping millions of dollars.

Cervantez' law firm, Lieff, Cabraser, Heimann & Bernstein, filed the lawsuit after investigating Best Buy for more than a year. The lawsuit seeks, among other things: an end to Best Buy's alleged discriminatory job practices, certification as a class-action case, back pay for prospective class members and other unspecified damages.

In their 23-page complaint, the plaintiffs (three African-American men and three minority women) allege Best Buy denied them promotions and gave them fewer hours and unequal work assignments and pay opportunities. For example, women are steered into cashier jobs and away from more lucrative jobs like selling home theater systems, the suit alleges.

The suit alleges that plaintiff Cheryl Chappel, a black woman, has been at Best Buy since 2001, working at its Chico and Mira Mesa stores in California. Two years ago, Chappel sought promotion to operations supervisor after two years in that department. Despite "excellent performance reviews,'' Chappel was passed over for the promotion in favor of a part-time male employee who had only four months of service at the Chico store, the suit alleges.

"Best Buy managers told Chappel she was not promoted to supervisor because it was 'a man thing.' Later, Chappel was told that Best Buy employed few women on the sales floor because 'girls can't sell,' " the lawsuit alleges.

Meanwhile, minorities are steered away from the sales jobs and into warehouse jobs, the suit claims.

For example, the complaint alleges plaintiff Muembo Muanza, a black male, has been stuck working part time in Best Buy's warehouse at its Marin City, Calif., store even though he came to the company in 2004 with two years of sales experience at another retailer, The Good Guys.

Legal experts said the Best Buy case is at the forefront of litigation involving corporate marketing plans, particularly those of retailers and real estate firms.

"It is at a rapidly developing area of the law where claimants, with increasing frequency, assert the marketing plans are disadvantageous to minorities and ethnics," said Marshall Tanick, a Minneapolis employment attorney who usually represents plaintiffs.

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Click here for free delivery of the Target Market News Bulletin You'll receive news of breaking stories, exclusives, updates and headlines on the latest developments in African American marketing and media Black Stats Frequently requested data on African American consumers Black Buying Power: $679 Billion (2004) Black U.S. Population: 38.3 million Top Five Black Cities - New York - Chicago - Detroit - Philadelphia - Houston Top Five Black Metros: - New York-New Jersey - Washington-Baltimore - Chicago-Gary - Los Angeles - Philadelphia Top Five Expenditures: - Housing 110.2 bil. - Food 53.8 bil. - Cars/Trucks 28.7 bil. - Clothing 22.0 bil. - Health Care 17.9 bil. Click here for more stats from "The Buying Power of Black America." ______________________ Get quick access to key U.S. Census Bureau Data Click here to go to African-American Census Bureau data _____________________ Copyright `© 2005 by Target Market News Inc.` All rights reserved Business address: 228 S. Wabash Ave. Suite 210 Chicago, IL 60604 t. 312-408-1881 f. 312-408-1867 info@targetmarketnews.com	Employees file racial discrimination suit against Best Buy chain By Scott Carlson Pioneer Press (December 9, 2005) For more than a year, Best Buy Co. has been touting "customer centricity" as a key tool for growing sales and earnings. The new marketing strategy targets different types of customers. But customer centricity now is at the center of a federal lawsuit that accuses the Richfield-based consumer electronics chain of racial and gender discrimination in its hiring, pay and promotion practices. In their complaint, filed Thursday in San Francisco, four current Best Buy workers and two former employees allege the retailer favors white men with the company's best sales jobs and better pay than it offers women and minority workers. Best Buy spokeswoman Susan Busch denied the allegations, contending they are inconsistent with Best Buy's policies, values and a corporate culture that provides a workplace free of discrimination. "We do not tolerate discriminatory practices," Busch said. But the plaintiffs allege Best Buy's employment practices reflect a corporate culture that stereotypes race and gender. It notes that Best Buy's initial four targeted consumer archetypes in its customer centricity program are mostly males "with Anglo-sounding names." The customer types in question are called "Barry," for wealthy professional males; "Buzz" for young, techno-savvy males, and "Ray," a typical family man interested in electronic gadgets. The only customer segment focusing on women is the so-called "Jill" shopper, a stay-at-home soccer mom, the lawsuit notes. It also alleges that, "The corporate culture of racial and gender stereotypes permeates Best Buy and its predominantly white male management force." But Busch countered that the plaintiffs' attorneys were "misconstruing" Best Buy's marketing program. "Customer centricity is all about providing the products, services and experiences that match the individual priorities and lifestyles of customers," she said. Eve Cervantez, an attorney for the Best Buy plaintiffs, estimated that less than 10 percent of the retailer's U.S. store managers are women. She said that is less than Wal-Mart Stores, which also is embroiled in sex discrimination litigation. Cervantez said it is too soon to know how many Best Buy employees might come become a part of the lawsuit if it wins class-action status or how large damages might be. But with a work force of more than 100,000 at its 730 namesake stores, Best Buy possibly could face scores of plaintiffs and damages topping millions of dollars. Cervantez' law firm, Lieff, Cabraser, Heimann & Bernstein, filed the lawsuit after investigating Best Buy for more than a year. The lawsuit seeks, among other things: an end to Best Buy's alleged discriminatory job practices, certification as a class-action case, back pay for prospective class members and other unspecified damages. In their 23-page complaint, the plaintiffs (three African-American men and three minority women) allege Best Buy denied them promotions and gave them fewer hours and unequal work assignments and pay opportunities. For example, women are steered into cashier jobs and away from more lucrative jobs like selling home theater systems, the suit alleges. The suit alleges that plaintiff Cheryl Chappel, a black woman, has been at Best Buy since 2001, working at its Chico and Mira Mesa stores in California. Two years ago, Chappel sought promotion to operations supervisor after two years in that department. Despite "excellent performance reviews,'' Chappel was passed over for the promotion in favor of a part-time male employee who had only four months of service at the Chico store, the suit alleges. "Best Buy managers told Chappel she was not promoted to supervisor because it was 'a man thing.' Later, Chappel was told that Best Buy employed few women on the sales floor because 'girls can't sell,' " the lawsuit alleges. Meanwhile, minorities are steered away from the sales jobs and into warehouse jobs, the suit claims. For example, the complaint alleges plaintiff Muembo Muanza, a black male, has been stuck working part time in Best Buy's warehouse at its Marin City, Calif., store even though he came to the company in 2004 with two years of sales experience at another retailer, The Good Guys. Legal experts said the Best Buy case is at the forefront of litigation involving corporate marketing plans, particularly those of retailers and real estate firms. "It is at a rapidly developing area of the law where claimants, with increasing frequency, assert the marketing plans are disadvantageous to minorities and ethnics," said Marshall Tanick, a Minneapolis employment attorney who usually represents plaintiffs. Go to Target Market News homepage	NEW! Search the entire contents of the Target Market News Web site! Looking for hard-to-find information on the African-American consumer market? Now you can easily search the contents of the leading source for information on African-American marketing and media. Scan our entire Web site for news, research and information using Google-powered keyword searches. Hundreds of articles, stories and report findings can be accessed for free. Click here to try it now! _____________________________________________________________________________________ 12th Annual Edition Available Latest 'Buying Power' report shows black consumers spending more on home life As the American economy continues to move sluggishly, African-American households are curtailing their spending in many categories, including food, clothing and basic household items, while investing more in home repair, home entertainment and consumer electronics. Although they are trimming back, black consumers are still spending more than their white counterparts on most of these products. According to the newest edition of “The Buying Power of Black America” report, African-American households are tightening their belts when it comes to dining out, expanding their wardrobes, and leisure activities out of the home. At the same time, they are increasing their spending on home repairs and remodeling, audio and... 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