Costco Disappointed with Class-Action Decision

Christina Cole

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Jim Sinegal, CEO of Costco, is "disappointed" with a San Francisco federal judge's decision to allow a class action discrimination case against the company to continue proceeding.

Sinegal said they will continue to defend themselves in the suit and they are optimistic that the company will prevail.

In a ruling last week, U.S. District Court Judge Marilyn Hall Patel decided the suit Ellis vs. Costco, could be certified as a class action. The plaintiffs in the case are alleging that Costco discriminated against women in promotions and that only 13% of their store managers are women, while half of the workers are female.

Sinegal, asserted in a statement, that Costco "has a well deserved reputation for being fair to their employees."

"It is obvious that there are more men than women in certain warehouse management positions, but statistics cited out of context do not always tell the whole story. We look forward to the opportunity to tell the whole story in the proper forum and at the right time," Sinegal said in a statement.