Wells Fargo Tentatively Settles Gender Discrimination Class Action

Registered Rep is reporting Wells Fargo has tentatively agreed to resolve a putative class action gender discrimination lawsuit for $32 million.  See registeredrep.com.  The lawsuit alleged, not unlike prior gender discrimination class actions against Merrill Lynch and Morgan Stanley, that Wachovia (now owned by Wells Fargo) discriminated against female financial advisors in a number of key terms and conditions of employment.   Specifically, the lawsuit alleged that Wachovia n/k/a Wells Fargo discriminated against female financial advisors in signing bonuses, forgivable loans, account distributions, assignment to teams, and partnership opportunities.  As part of the settlement, Wells Fargo will implement a wide array of policies and procedures, including modifying its existing account distribution policy.  Further, Wells Fargo will monitor data concerning up front signing bonuses, as female financial advisors had alleged that Wells Fargo discriminated against female financial advisors with regard to a number of issues pertaining to the provision and recovery of up front signing bonuses.  The settlement will affect female financial advisors who were employed by Wachovia and its successor Wells Fargo from March 17, 2003 through January 25, 2011.  Female financial advisors employed by Wachovia during this period may apply to participate in the claims administration process through April 25, 2011.