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STENDER v. LUCKY STORES

UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF CALIFORNIA


August 18, 1992

NANCY J. STENDER, DIANE SKILLSKY, JULIE VALENTINE-DUNN, REBA BARBER-MONEY, IRMA HERNANDEZ, ANITA MARTINEZ and JON GOLD on behalf of themselves and all others similarly situated, Plaintiffs, -v.- LUCKY STORES, INC., Defendant.

The opinion of the court was delivered by: PATEL

FINDINGS OF FACT AND CONCLUSIONS OF LAW TABLE OF CONTENTS TO FINDINGS OF FACT AND CONCLUSIONS OF LAW FINDINGS OF FACT 2 I. LUCKY STORES INC. 2 Corporate Structure of Lucky 2 Lucky's Northern California Division 3 Districts in the Northern California Division 4 United Food and Commercial Workers Union Contracts 5 Retail Food Stores 7 Gemco Stores 10 II. LUCKY'S EMPLOYMENT PRACTICES 11 Plaintiffs' Witnesses 11 Defendant's Witnesses 15 Initial Placement 16 A. Hiring 16 B. Placement 18 Promotion 20 A. Lucky's Job Ladders 20 B. The UFCW Contract Provisions on Promotion 22 C. Promotion Practices 24 D. The Valley Posting Program 39 E. Training 41 F. Movement between Departments 45 Movement from Part-time to Full-Time 47 A. The UFCW Contract Provisions on Movement to Full-Time 47 B. Movement Practices 49 Allocation of Additional Hours/Step-Ups 53 A. The UFCW Contract Provisions on Allocation of Hours 53 B. Allocation of Hours Practices 53 C. Step-Up Practices 55 Wage Rates 56 Grievance Procedures 58 Comparison of Lucky's NCD and SCD 61 Lucky's Affirmative Action Efforts 62 A. Before 1986 62 B. The 1986 NCD Affirmative Action Plan 66 C. Discontinuation of the 1986 Affirmative Action Plan 69 D. Lucky's 1988 Affirmative Action Efforts 71 E. Notes from the Specter Meetings 73 F. Discontinuation of the 1988 Affirmative Action Efforts 76 G. Attitudes of Senior Management 77 III. EXPERT WITNESSES 78 Dr. Drogin 78 A. Initial Placement 83 B. Promotion 83 C. Movement from Part-Time to Full-Time 85 D. Movement off the Bid Lists 85 E. Allocation of Hours 87 F. Earnings 88 G. Dr. Drogin's Conclusions 89 Dr. Pencavel 89 Dr. Bielby 95 Dr. Daum 103 A. Dr. Daum's Work Interest Survey 103 B. Dr. Daum's Work Hours Interest Survey 116 Dr. Haworth 120 A. Dr. Haworth's Initial Placement Database 121 B. Dr. Haworth's Conclusions 127 Dr. Hoffman 129 A. Critique of Dr. Daum's Job Interest Survey 130 B. Cluster Analysis 137 C. Critique of Dr. Daum's Work Hours Interest Survey 138 CONCLUSIONS OF LAW 140 I. JURISDICTION AND VENUE 140 II. LIABILITY PERIOD 140 III. THE PLAINTIFF CLASS 140 IV. LEGAL STANDARDS 141 Section 1981 141 Title VII -- Generally 141 Title VII -- Disparate Treatment 142 Title VII -- Disparate Impact 145 The Use of Statistical Evidence in Title VII Cases 150 Punitive Damages under Title VII 154 California Fair Employment and Housing Act 156 V. THE USE OF INTEREST SURVEYS 158 VI. FINDINGS ON EXPERT TESTIMONY 162 VII. DISPARATE TREATMENT 170 Evidence of Intent 170 A. Evidentiary Rulings 170 B. Subjective Decision Making 172 C. Knowledge 173 D. Discriminatory Attitudes 175 E. Findings 176 Initial Placement 176 Promotion 177 Movement from Part-Time to Full-Time 180 Allocation of Hours/Step-Ups 182 VIII. DISPARATE IMPACT 183 Subjective Decision Making 183 Failure to Follow Bid Procedures 185 IX. PUNITIVE DAMAGES 186 X. FEHA CLAIM 187 CONCLUSIONS 187

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