Goldman Sachs paid millions to bury claims of sexism

Business

NEW YORK, NEW YORK – SEPTEMBER 13: The Goldman Sachs logo is seen on at the New York Stock Exchange on September 13, 2022 in New York City. Goldman Sachs announced today a plan to cut several hundred jobs this month, making it the first Wall Street firm to take steps to cut down on expenses amid a drop in volume of deals after pausing layoffs for two years during the coronavirus (COVID-19) pandemic. (Photo by Michael M. Santiago/Getty Images)

(NewsNation) — Goldman Sachs has paid more than $12 million in a settlement involving allegations of sexism and toxic working conditions.

The settlement was reached two years ago and is likely one of the biggest in the industry.

The complaint accused Goldman of having a toxic work environment and cited pay disparities, systematic discrimination and inappropriate remarks from senior employees. That included an allegation that CEO David Solomon bragged to employees about having received oral sex the night before.

Other issues raised in the complaint included executives critiquing the appearance of female employees and assigning them menial tasks.

A memoir from a former Goldman Sachs managing director, Jamie Fiore Higgins, recounted incidents including being harassed for using the company’s lactation center following her pregnancies, sexual activity taking place in the office and a culture where women were judged based on physical appearance.

Earlier in November, Goldman touted its most diverse class of new partners. Twenty-nine percent of those partners are women, while 24 percent of new partners identify as Asian and 9 percent are Black.

Goldman is also facing a class-action lawsuit regarding pay discrimination. The class includes roughly 1,400 women who said women were paid less and passed over for promotions.

That lawsuit also includes allegations of sexual assault, including one woman who said she was drugged and raped and another who has accused a male manager of propositioning her for sex.

The former partner who received the confidential $12 million settlement has not been named publicly, and the alleged incidents took place in 2018 and 2019.

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