FinancialsMar 13, 2025
Brilliant Earth’s 2024 Sales Struggled Amid Engagement RecoveryCEO Beth Gerstein shared its most popular price points, what’s trending in non-bridal fine jewelry, and its holiday performance.
MajorsJan 23, 2018
Judge Drops Thousands from Sterling Discrimination Case
Federal judge Jed S. Rakoff ruled that an arbitrator overstepped her bounds in including women who did not opt into the class.
New York--A federal judge ruled last week that the arbitrator in charge of the sex discrimination case against Sterling Jewelers overstepped her bounds in including women who did not opt into the class, and he cut thousands of women from the case.
Arbitrator Kathleen A. Roberts ruled in February 2015 that women could pursue claims of pay and promotion discrimination against the retailer as a class, and certified a class of approximately 70,000 individuals that included all women who had worked for Sterling within a specific range of dates, regardless of whether or not they had said they wanted to be part of the case.
Sterling appealed the decision twice and in July 2017, the U.S. Second Circuit Court of Appeals sided with the retailer, ruling that the issue of whether or not an arbitrator has the power to include people who do not opt into the class had never been “squarely addressed,” and remanded the issue to the U.S. District Court in Manhattan.
On Jan. 16, federal Judge Jed S. Rakoff ruled that the arbitrator does not have this power, writing in his decision, “Arbitrators are not judges. Nowhere in the Federal Arbitration Act does Congress confer upon these private citizens the power to bind individuals and businesses except in so far as the relevant individuals and businesses have bound themselves.”
“The court finds that the arbitrator here had no authority to decide whether the RESOLVE agreement permitted class-action procedures for anyone other than the named parties who chose to present her with that question and those other individuals who chose to opt in to the proceeding before her.”
RESOLVE is the name for Sterling’s internal dispute resolution system; upon hire, all employees agree to settle any workplace disputes in private arbitration, a practice some lawmakers are looking to force companies to change because, they say, it can discourage women who have been discriminated against or sexually harassed from speaking up.
The judge’s ruling cuts the size of the class down from 70,000 to the approximately 250 women who either filed the original arbitration claim under Title VII--which covers claims of promotion discrimination--or were part of the claim before the 2015 class certification that Rakoff just overturned.
There are, however, 10,000 other women who opted into a separate class in 2016 under claims brought under the Equal Pay Act (EPA).
Washington, D.C.-based attorney Joseph Sellers, who represents the women who filed
Editors' Picks
Sponsored by
the case against Sterling, said he “respectfully disagrees” with Judge Rakoff’s decision and already has filed an appeal.
“At the very least, we think we should proceed to trial on behalf of the claims of more than 9,000 women. We hope the Second Circuit (Court of Appeals) will allow the balance of the women’s claims,” he said, referring to the 60,000 women excluded by Rakoff’s decision.
David Bouffard, the vice president of corporate affairs for Sterling parent company Signet Jewelers Ltd., said the company will be challenging the certification of the EPA class as well.
The sex discrimination case against Sterling began back in 2008 when a group of 12 women who used to work at the retailer’s stores accused it of paying women less than men and passing them over for promotions.
Filed as part of that case but not released until this past spring were more 1,000 pages of sworn statements obtained by The Washington Post that went beyond allegations of pay and promotion discrimination, painting a portrait of Sterling in the late ‘90s and early 2000s as a boys’ club where the sexist culture started at the top with now-departed CEO Mark Light.
These claims are not part of the class arbitration, and Sterling has repeatedly disputed them, saying they give a distorted and inaccurate picture of the company’s culture.
“At the very least, we think we should proceed to trial on behalf of the claims of more than 9,000 women. We hope the Second Circuit (Court of Appeals) will allow the balance of the women’s claims,” he said, referring to the 60,000 women excluded by Rakoff’s decision.
David Bouffard, the vice president of corporate affairs for Sterling parent company Signet Jewelers Ltd., said the company will be challenging the certification of the EPA class as well.
RELATED CONTENT: EEOC, Signet Reach Settlement in Discrimination CaseThe ruling, and subsequent appeal, is the latest in a convoluted case that has stretched on for nearly a decade and has included numerous rulings and appeals on the issue of allowing the women to pursue their claims as a class even though their case has to be heard in arbitration.
The sex discrimination case against Sterling began back in 2008 when a group of 12 women who used to work at the retailer’s stores accused it of paying women less than men and passing them over for promotions.
Filed as part of that case but not released until this past spring were more 1,000 pages of sworn statements obtained by The Washington Post that went beyond allegations of pay and promotion discrimination, painting a portrait of Sterling in the late ‘90s and early 2000s as a boys’ club where the sexist culture started at the top with now-departed CEO Mark Light.
These claims are not part of the class arbitration, and Sterling has repeatedly disputed them, saying they give a distorted and inaccurate picture of the company’s culture.
More on Majors
The Latest
CollectionsMar 13, 2025
Chopard Unveils High Jewelry Collection Created From 6,225-Carat Emerald The 15 pieces were crafted from the “Insofu” emerald, discovered in Zambia in 2010.
Lab-GrownMar 13, 2025
JA Offering Some ‘Counter Intelligence’ on Diamonds Jewelers of America is distributing a brochure for retailers to use when discussing the differences between natural and lab-grown diamonds.
Brought to you by
Watch: GIA Field Gemology at the One-Hundredth Expedition: A Look Back and to the FutureSupplier Spotlight Sponsored by GIA
SourcingMar 12, 2025
5 Factors That Will Impact the Diamond Industry in 2025The industry is changing as it grapples with new realities around distribution, supply, and the need for consistent, effective marketing.
Weekly QuizMar 06, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
SourcingMar 12, 2025
Q&A: New GJEPC Chairman Kirit BhansaliBhansali discusses the potential impact of U.S. tariffs, demand for diamonds by market, and the “cautious confidence” in India right now.
Lab-GrownMar 12, 2025
Beyond Jewelry: Possibilities in the Lab-Grown Diamond SectorAs lab-grown diamond brands pop up across India, academics are researching how to grow demand outside of the jewelry industry.
Brought to you by
Natural Diamonds Should Mean MoreNatural diamonds mean more than lab-grown, but when every cut is ideal, they all look the same. Customers want more—Facets of Fire delivers.
SourcingMar 12, 2025
Indian Leader, Retailer Among 2025 DDG Honorees Govind Dholakia and Tanishq will be recognized for their contributions to the industry at the Diamonds Do Good Awards in Las Vegas.
IndependentsMar 12, 2025
Marla Aaron Migrates to LondonThe New York City-based brand has opened its first U.K. location with a permanent shop-in-shop at Liberty in London.
AuctionsMar 12, 2025
A Medieval Bishop’s Sapphire Ring Is Going Up for SaleA metal detectorist discovered the ring that is believed to have belonged to a bishop in the late 12th to early 13th century.
Events & AwardsMar 12, 2025
JA New York Announces Education, Live Demo LineupsOrganizers looked to new partnerships and interactive experiences to enhance the spring show, set for March 16 to 18.
Events & AwardsMar 12, 2025
Bogolo Joy Kenewendo to Speak at Annual JVC LuncheonKenewendo, Botswana’s minister of minerals and energy, will discuss the future of diamonds.
CrimeMar 11, 2025
Man in Florida Swallows Allegedly Stolen Tiffany & Co. Jewelry The suspect allegedly stole almost $800,000 worth of diamond jewelry from a store in Orlando and then swallowed it during a traffic stop.
ColumnistsMar 11, 2025
Creative Connecting: How to Pose on the Red CarpetAhead of the Gem Awards on Friday, Jen Cullen Williams and Duvall O’Steen share pro tips for taking the best photos.
CollectionsMar 11, 2025
Marco Bicego Celebrates 25 Years With Collection, CampaignFounded in 2000, Marco Bicego is commemorating its milestone anniversary with a “25 Best” collection and campaigns honoring its heritage.
TechnologyMar 11, 2025
Hill & Co. Launches New B2B Buyer DatabaseThose attending the company’s upcoming Zoom workshop will receive early access to “The List,” its new resource for finding buyers.
Events & AwardsMar 11, 2025
JSA to Honor GIA Employee at Annual LuncheonThe organization will present an award to Amy-Elise Signeavsky, law enforcement and diamond recovery manager at GIA.
MajorsMar 10, 2025
Terry Chandler to Retire After 24 Years as Head of DCA Chandler started his jewelry career at Michelson Jewelers, joining the Diamond Council of America as president and CEO in 2001.
CollectionsMar 10, 2025
MaeVona Co-Founder Debuts 3D-Printed ‘Tùsaire’ CollectionScottish American designer Maeve Gillies collaborated with Platinum Guild International on jewelry created by direct metal 3D printing.
Events & AwardsMar 10, 2025
The Jewelry Symposium Announces 2025 Scholarship WinnersAhead of its trade show in May, TJS awarded free registration and accommodations to five up-and-coming jewelry industry professionals.
Events & AwardsMar 10, 2025
These Designers, Journalists, and Retailers Are Up for a Gem Award The 2025 Gem Awards are set to take place Friday at Cipriani 42nd Street in New York City.
MajorsMar 07, 2025
Jane Fonda, Mariska Hargitay Star in Pomellato’s IWD CampaignThe annual star-studded campaign for International Women’s Day encourages collective action against domestic violence.
CollectionsMar 07, 2025
Piece of the Week: Yeprem’s ‘Golden Strada’ NecklaceThe statement piece is seen in Yeprem’s new “You Play the Game” campaign, created for International Women’s Day.
MajorsMar 07, 2025
Borsheims Names New Senior Security and Facilities ManagerLongtime employee Kyle Slosson has been promoted to the role.
IndependentsMar 06, 2025
Wixon Jewelers to Close After 37 YearsFirst-generation jewelers Dan and Hope Wixon are retiring and will close their Minneapolis-area jewelry store in May.
CollectionsMar 06, 2025
Guzema, 3.1 Phillip Lim Collab on New ‘Snake’ DesignsThe limited-edition collection, a nod to the Year of the Snake, is Ukrainian brand Guzema’s first partnership with a U.S. brand.
