Black Workers Seek $82 Million from Boeing in Suit Reuters

18-MAR-98 SEATTLE, March 17 (Reuters) -


A group of 41 minority employees of Boeing Co. filed suit against the aerospace giant Tuesday, claiming they were passed over for promotions because of their race. "The plaintiffs have been systematically excluded from the hiring process by way of not being provided with job announcements, by hiring through nepotism and by selecting other Caucasians unbeknownst to the plaintiffs," the lawsuit charged.

The employees, 40 of whom are black, seek at least $82 million in damages. The remaining employee is of mixed Filipino and native American heritage. The lawsuit, filed in King County Superior Court, also contends the employees, who work at three Seattle-area manufacturing plants, have been subjected to a hostile work environment, derogatory racial slurs and retaliation for their complaints.

In one case a female worker was given a black doll "displaying racial stereotypes" as a humiliating birthday present.

In many cases the plaintiffs were more qualified, had more seniority and even provided training for the white employees who received promotions ahead of them, according to the suit. In other cases the employees allegedly were subjected to different requirements or otherwise treated differently than their white co-workers.

Oscar Desper, a Seattle attorney representing the employees, said the lawsuit was filed only after the workers went through an internal Boeing process to resolve discrimination grievances and got no satisfaction. Jim Dagnon, Boeing's senior vice president for people, said the company was investigating the allegations to determine whether they have merit. "We as members of management must do everything possible to demonstrate forcefully that we do not tolerate discrimination or harassment of any kind at the Boeing Co.," he said at a news conference. He also said the company would examine its grievance procedures to ensure employees have effective ways to deal with "perceived discriminatory or harassing behavior." About 82 percent of Boeing's 240,000 employees are white, with about 6 percent black, 4 percent Hispanic, 7 percent Asian-Pacific and 1 percent native American, a company spokesman said.

Copyright 1998 Reuters Limited.All rights reserved.


Boeing Settles Discrimination Suits;
Condit Calls for Company of Inclusion

SEATTLE, Jan. 22, 1999 - The Boeing Company today announced it plans to settle for $15
million two nationwide class action lawsuits that alleged employment discrimination. The
announcement was made by Boeing Chairman and CEO Phil Condit in a joint news conference
here with Reverend Jesse Jackson, and Oscar E. Desper III and Bruce A. Harrell, class counsel
for the plaintiffs.

"The company is taking this action to further our goals of encouraging diversity and promoting equal
employment opportunity at Boeing," Condit said.

"We believe the terms of the settlement, along with the valuable help Reverend Jackson has
provided, create an opportunity for Boeing to move forward with its vision. We need to be a global
company of inclusion, where diverse groups and ideas flourish. We all have to work together to
make Boeing more competitive." he stated.

"This settlement ensures further expansion of our efforts to improve our promotion processes,
enhance training opportunities and ensure employees have avenues available to address their
concerns. It resolves pending disputes in a fair and equitable manner and avoids expensive,
protracted litigation that might have distracted us from building a better company for all employees,"
Condit explained.

"Any common ground between workers and the company, to give workers more security and to
heal ancient wounds is the way to building bridges for the future," Reverend Jackson said. "Now
we must engage with Boeing in the broader range of unmet challenges; the diversity of its
infrastructure, its board, its procurement practices, its pension fund management and the broad
range of opportunities that Boeing has to offer all Americans."

Counsel for the plaintiffs, Oscar Desper, said, "I am very pleased for all African-Americans who
have and are currently working for Boeing. They earned and deserve this action. We are optimistic
that Boeing will follow through on its commitment to implement the changes in the consent decree
and continue to make Boeing a work environment that is beneficial for all people."

Attorneys for Boeing and the plaintiffs filed a motion in federal court seeking preliminary approval
of the consent decree pending notice to the class members, and a fairness hearing. For purposes of
the consent decree, the federal court has been asked to certify a nationwide settlement class of all
African-American employees throughout Boeing's U.S. operations. The settlement class also
includes all African-American employees who worked for Boeing during the past one to six years,
depending upon state statutory limitations periods, including those who worked during that time at
Rockwell or McDonnell Douglas facilities which have since become part of Boeing. Eligible
employees and former employees will receive information about how to apply for monetary relief.
They also will have the opportunity to opt out of the proposed decree or submit objections to the
court as to the terms of the decree. Boeing currently has approximately 12,900 African-American
employees.

Over the next several months Boeing will be implementing some new programs and enhancing
others as a condition of the settlement. The company will create programs to improve hourly
employees' understanding of the promotion process. It will provide channels for those not selected
for promotion to develop themselves to be more competitive for future opportunities. Additionally,
Boeing has begun implementation of a revised selection process for first-level managers and has
made systemic changes to its EEO complaint procedure and investigation process.

In its filing, Boeing denies that there has been any pattern or practice of racial discrimination at the
company.

The preliminary consent decree was filed jointly today in Seattle in the United States District Court
for the Western District by Boeing and plaintiffs' counsel. The court must determine that it is fair,
adequate and reasonable to the class as a whole before giving its final approval. This process will
include formal notice to the class, an opportunity for members of the class to opt out of the
settlement with respect to monetary relief, an opportunity to submit timely objections to the decree
and a hearing on the fairness of the settlement. The process may take several months.