Citi settles discrimination suit for $33M

The class action, which was filed in 2005, accused Smith Barney of passing over women when assigning large accounts.

Citigroup Inc. has agreed to pay $33 million to about 2,500 current and former female brokers at its Smith Barney subsidiary to settle a discrimination lawsuit.
The class action, which was filed in 2005, accused Smith Barney of passing over women when assigning large accounts.
“The settlement mandates substantial changes in Smith Barney’s system for awarding compensation and business opportunities in its branch offices for the next four years,” a lawyer for the women, Kelly M. Dermody of Lieff Cabraser Heimann & Bernstein LLP of San Francisco, said Thursday in a statement.
Citigroup is “pleased to have this matter moving toward final resolution,” the New York-based firm said in a statement.
“Significant initiatives in the last several years have helped establish Smith Barney as one of the most progressive employers in the securities industry and we are committed to continuing to provide a professional and respectful work environment to all of our employees,” the statement said.
The settlement is pending approval by a federal judge.