An announcement has been made by Morgan Stanley’s Global Wealth Management Group that it has already settled a gender class action lawsuit involving current former women financial advisors and registered trainees.
The terms of settlement, which is subject to the approval of the United States District Court in Washington, D.C, provides that the division will adopt new programs in such areas as account redistribution, training and management development designed to enhance the success of women financial advisors.
Aside from that, the settlement also establishes a way for women financial advisors who believe that they were historically disadvantaged because of their gender to submit monetary claims to a Special Master jointly appointed by the parties. As a result, a whopping US$46 million pool has been established to pay such claims and related costs.
Caroline Gundeck, head of the Global Wealth Management Group Office of Diversity said that the company is firmly committed to the initiatives they will be undertaking to attract and retain women financial advisors and help them be as successful as possible. They are also willing to resolve a legal matter stemming from the past. She also added that the goal across their organization is to be the employer-of-choice for talented women.
Morgan Stanley wealth management group is considered to be one of the world’s largest, with US$690 billion in client assets. The company offers a range of wealth management products and services to individuals, business and institutions, including brokerage and investment advisory services. It also provides financial and wealth planning, credit and lending, banking and cash management, annuities and insurance, retirement and trust.