Edward Jones Has Agreed To Pay $34M To Settle a Race Discrimination Lawsuit
Edward Jones has agreed to pay $34 million to settle a racial discrimination class-action lawsuit filed in 2018 on behalf of current and former Black financial advisors who were allegedly discriminated against by the firm’s training and account distribution practices.
The agreement covers all African American and/or Black advisors employed by the firm between May 24, 2014, and December 31, 2020, according to settlement documents filed on Friday with the U.S. District Court for the Northern District of Illinois. There are at least 800 such class members, according to the documents, who could see payments of around $31,000 net of legal fees and court costs.
As part of the settlement, St. Louis-based Edward Jones, the largest U.S. brokerage firm by its more than 19,000 brokers, also agreed to revise its policies for recouping training costs and form an advisory council comprising a “diverse cross-section” of brokers at the firm who will consult with senior executives on initiatives to increase diversity and representation of African American Advisors.
