ILNews

7th Circuit rules on Rolls-Royce job-bias case

Back to TopCommentsE-mailPrintBookmark and Share

A day after the nation’s highest court heard arguments on the largest female gender-discrimination case in history, the 7th Circuit Court of Appeals has delved into that same territory and upheld a federal judge’s decision denying class certification in a sex discrimination suit in which a group of female Rolls-Royce employees accused the manufacturer of paying women less than men for the same or similar work.

The 18-page decision came late Wednesday afternoon in the case of Sally A. Randall, et al. v. Rolls-Royce Corp., No.10-3446, delving into how far the federal class-certification rules can be stretched when questions exist about the adequacy of certain plaintiffs and potential class members.

U.S. Judge Sarah Evans Barker in the Southern District of Indiana last year denied a class-certification motion by Sally Randall and Rona Pepmeier, who asked the court to certify a class comprised of all women who’d been employed by Rolls-Royce in Indianapolis at certain pay levels since October 2004. The suit alleged the company had paid women less than men for the same or similar work, and perpetuated the pay disparity over time by failing to equitably adjust female workers' salaries. The January 2009 suit alleged both intentional and disparate impact pay discrimination and retaliatory acts, and violations of Title VII and the Equal Pay Act.

They filed the suit under Federal Rule of Civil Procedure 23(b)(2), which offers slightly more relaxed requirements in proving class status than Rule 23(b)(3), which mandates notice for all potential class members. Randall and Pepmeier argued that the commonality requirement of the class-certification rule was met because Rolls-Royce had a company-wide policy of premising pay on prior base salaries carried forward from the past, but Judge Barker was skeptical of whether that so-called policy had any meaning or value in determining whether all the plaintiffs or potential class members shared similar facts.

Judge Barker also questioned whether there was a common element between all the named plaintiffs and potential class members.

The 7th Circuit affirmed Judge Barker’s denial of the plaintiffs' class-certification motion and determined that she had rightly granted summary judgment in the company’s favor. The appellate panel agreed with Judge Barker that the named plaintiffs here appear to be inadequate class representatives because of varying pay issues and even conflicts about their involvement in management decisions applying to those lower employees who could be class members.

Judge Richard Posner wrote for the panel that the proper approach in this case would have been for the plaintiffs to seek class certification under Rule 23(b)(3) — which requires full notice so they can opt out if they want to bring an independent suit for damages or other monetary relief. Plaintiffs should ask for injunctive as well as monetary relief, he wrote. Reversing the denial of class certification would actually jeopardize the ability of unnamed class members to obtain relief in individual suits or in a subsequent class action, according to the ruling.

“The plaintiffs argue that if only equitable relief is sought, a class action suit may be maintained under Rule 23(b)(2) even if the equitable relief is mainly monetary,” Judge Posner wrote. “We disagree. To read ‘injunctive’ in the rule to mean ‘equitable’ is to become mired in sticky questions of differentiating between ‘legal’ and ‘equitable’ actions – and such questions abound.”

In noting how this case illustrates a need to calculate back pay for all class members and that 500 separate hearings would likely be needed for that, Judge Posner also said, “The monetary tail would be wagging the injunction dog” and that it wouldn’t provide final injunctive relief as the plaintiffs are contending.

While this appellate ruling affirms the District judge, it may not end there as larger questions still exist about the scope of Rule 23(b)(2) as the 7th Circuit interpreted it here. That is the same question being explored by the Supreme Court of the United States, which on Tuesday heard arguments in the giant gender-discrimination suit of Walmart v. Dukes, No. 10-277. The case involves a nationwide class-action suit potentially encompassing hundreds of thousands of female Wal-Mart employees alleging gender discrimination, and the legal question is whether claims of monetary relief can be certified under 23(b)(2) and if so, under what circumstances.

In writing this Rolls-Royce ruling on the Indiana suit, Judge Posner pointed out that “the present case is not as big a stretch, but it is big enough” as it relates to how far Rule 23(b)(2) can be stretched.

No timeline stands for the nine justices to decide the Wal-Mart case, but they’ll likely issue a ruling by the time their current term concludes at the end of June.
 

ADVERTISEMENT

  • RUINED CAREERS
    Since this involves 500 women of Rolls-Royce, and there are probably all of the female employees being discriminated against there,I would think there is an obvious gender discrimination culture that not only affects the women's finances, but also ruins their trust in the male culture of this country to the point they lose their faith in mankind. Another lawsuit should be brought forth, based on the pain and suffering these women must be going through, as their careers are ruined and their lives are shattered.

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in Indiana Lawyer editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by

facebook - twitter on Facebook & Twitter

Indiana State Bar Association

Indianapolis Bar Association

Evansville Bar Association

Allen County Bar Association

Indiana Lawyer on Facebook

facebook
ADVERTISEMENT
Subscribe to Indiana Lawyer
  1. I grew up on a farm and live in the county and it's interesting that the big industrial farmers like Jeff Shoaf don't live next to their industrial operations...

  2. So that none are misinformed by my posting wihtout a non de plume here, please allow me to state that I am NOT an Indiana licensed attorney, although I am an Indiana resident approved to practice law and represent clients in Indiana's fed court of Nth Dist and before the 7th circuit. I remain licensed in KS, since 1996, no discipline. This must be clarified since the IN court records will reveal that I did sit for and pass the Indiana bar last February. Yet be not confused by the fact that I was so allowed to be tested .... I am not, to be clear in the service of my duty to be absolutely candid about this, I AM NOT a member of the Indiana bar, and might never be so licensed given my unrepented from errors of thought documented in this opinion, at fn2, which likely supports Mr Smith's initial post in this thread: http://caselaw.findlaw.com/us-7th-circuit/1592921.html

  3. When I served the State of Kansas as Deputy AG over Consumer Protection & Antitrust for four years, supervising 20 special agents and assistant attorneys general (back before the IBLE denied me the right to practice law in Indiana for not having the right stuff and pretty much crushed my legal career) we had a saying around the office: Resist the lure of the ring!!! It was a take off on Tolkiem, the idea that absolute power (I signed investigative subpoenas as a judge would in many other contexts, no need to show probable cause)could corrupt absolutely. We feared that we would overreach constitutional limits if not reminded, over and over, to be mindful to not do so. Our approach in so challenging one another was Madisonian, as the following quotes from the Father of our Constitution reveal: The essence of Government is power; and power, lodged as it must be in human hands, will ever be liable to abuse. We are right to take alarm at the first experiment upon our liberties. I believe there are more instances of the abridgement of freedom of the people by gradual and silent encroachments by those in power than by violent and sudden usurpations. Liberty may be endangered by the abuse of liberty, but also by the abuse of power. All men having power ought to be mistrusted. -- James Madison, Federalist Papers and other sources: http://www.constitution.org/jm/jm_quotes.htm RESIST THE LURE OF THE RING ALL YE WITH POLITICAL OR JUDICIAL POWER!

  4. My dear Mr Smith, I respect your opinions and much enjoy your posts here. We do differ on our view of the benefits and viability of the American Experiment in Ordered Liberty. While I do agree that it could be better, and that your points in criticism are well taken, Utopia does indeed mean nowhere. I think Madison, Jefferson, Adams and company got it about as good as it gets in a fallen post-Enlightenment social order. That said, a constitution only protects the citizens if it is followed. We currently have a bevy of public officials and judicial agents who believe that their subjectivism, their personal ideology, their elitist fears and concerns and cause celebs trump the constitutions of our forefathers. This is most troubling. More to follow in the next post on that subject.

  5. Yep I am not Bryan Brown. Bryan you appear to be a bigger believer in the Constitution than I am. Were I still a big believer then I might be using my real name like you. Personally, I am no longer a fan of secularism. I favor the confessional state. In religious mattes, it seems to me that social diversity is chaos and conflict, while uniformity is order and peace.... secularism has been imposed by America on other nations now by force and that has not exactly worked out very well.... I think the American historical experiment with disestablishmentarianism is withering on the vine before our eyes..... Since I do not know if that is OK for an officially licensed lawyer to say, I keep the nom de plume.

ADVERTISEMENT