Syeed v. Bloomberg L.P.

• Citation: 568 F.Supp.3d 314
• Decision Date: 25 October 2021
• Docket Number: 1:20-cv-7464-GHW
• Parties: Nafeesa SYEED and Naula Ndugga, on behalf of themselves and similarly situated women, Plaintiff, v. BLOOMBERG L.P., Defendant.
• Court: U.S. District Court — Southern District of New York

568 F.Supp.3d 314

Nafeesa SYEED and Naula Ndugga, on behalf of themselves and similarly situated women, Plaintiff,

v.BLOOMBERG L.P., Defendant.

1:20-cv-7464-GHW

United States District Court, S.D. New York.

Signed October 25, 2021

Donna H. Clancy, The Clancy Law Firm, Olivia Marie Clancy, Shegerian & Associates, New York, NY, Christine Webber, Stacy Noel Cammarano, Cohen Milstein Sellers & TOll, PLLC, Washington, DC, for Plaintiff Nafeesa Syeed.

Donna H. Clancy, The Clancy Law Firm, New York, NY, for Plaintiff Naula Ndugga.

Allison Lynn Martin, Proskauer Rose LLP, Newark, NJ, Elise Michelle Bloom, Rachel S. Philion, Proskauer Rose LLP, New York, NY, Mark W. Batten, Proskauer Rose LLP, Boston, MA, for Defendant.

MEMORANDUM OPINION & ORDER

GREGORY H. WOODS, United States District Judge:

I. INTRODUCTION

Plaintiff Nafeesa Syeed, who is a South Asian-American woman, worked as a reporter and producer for Bloomberg's Dubai news bureau before relocating to the United States, at which time she began reporting from Bloomberg's Washington D.C. bureau. She claims that while working in Washington D.C., she was denied promotions for which she was well-qualified, paid less than her male counterparts, and regularly subjected to derogatory conduct and remarks targeting her race and gender until she was allegedly constructively discharged in 2018. Plaintiff Naula Ndugga, a Black woman who works for Bloomberg's Media Division in New York, raises similar allegations, focused on the allegedly discriminatory policies and practices imposed by the firm's three man "Editorial Management Committee," which controls hiring and advancement at Bloomberg.

Ms. Syeed and Ms. Ndugga assert claims on behalf of themselves and a putative class of similarly situated current and former women employees under Title VII, the New York State Human Rights Law ("NYSHRL"), and the New York City Human Rights Law ("NYCHRL"). Defendant has moved under Rule 12(b)(6) to dismiss the complaint for failure to state a claim. Because Ms. Syeed, who at all relevant times worked in Washington D.C., has not pleaded that felt the impact of Bloomberg's discrimination in New York City or State, her claims under the NYSHRL and NYCHRL must be dismissed. Because Ms. Ndugga has plausibly pleaded that she is treated less well than comparable men at Bloomberg, the bulk of her discrimination claims against Bloomberg may proceed. However, her Title VII claims, failure to promote claims under the NYCHRL and NYSHRL, and disparate impact claims under the NYSHRL are dismissed.

II. BACKGROUND AND PROCEDURAL HISTORY¹

A. Defendant Bloomberg L.P.

Bloomberg L.P. ("Bloomberg") is a privately held media company. SAC ¶ 11. Its global headquarters are located in in New York City. Id. ¶ 9. Bloomberg operates Bloomberg Media, a news organization that employs approximately 2,700 reporters, producers, editors across over 120 news bureaus worldwide. Id. ¶¶ 12, 16. Approximately 1,000 of those 2,7000 reporters, producers and editors are women. Id. ¶ 16.

Bloomberg Media's news content and employment decisions are controlled by its Editorial Management Committee, which operates from its New York headquarters and reports to Bloomberg founder and CEO Michael Bloomberg. Id. ¶¶ 12, 14, 17–18. All three members of the Editorial Management Committee are men. Id. ¶¶ 14, 17.

1. Promotion Practices

When Bloomberg Media has a job opening, it first posts the opening on an internal career portal. Id. ¶ 27. If it is unable to fill the opening internally, it advertises the opening publicly. Id. Candidates for hiring or promotion are interviewed by bureau chiefs and senior editors. Id. ¶ 28. However, only the Editorial Management Committee has the authority to hire or promote employees. Id. ¶¶ 16, 28.

Reporters at Bloomberg Media can be promoted from reporter to senior reporter, then to editor, to senior editor, and ultimately bureau chief. Id. ¶ 29. There are also gradations within reporter positions: reporters assigned to certain subject areas, such as foreign policy, are considered "higher level positions" and employees who hold those roles are more likely to be promoted to a position as a senior reporter or editor. Id. Producers at Bloomberg Media can be promoted from producer to a position as senior producer and subsequently, executive producer. Id. ¶ 30. Like reporters, producers assigned to certain subject areas are considered "higher level" and those who hold the positions are more likely to be promoted. Id.

Both Plaintiffs allege that they were passed over for promotions for which they were well qualified. Id. ¶ 31. They allege that Bloomberg Media engages in practices that limit the opportunities for promotion available to individuals who are not white men. For example, the Editorial Management Committee designated certain positions as "diversity slots." Id. ¶ 32. Ms. Syeed understood that while "diversity slot" positions might be filled by women or people of color, non-"diversity slot" positions would effectively be filled only by white men. Id. Ms. Syeed was once told by a managing editor that she had not been considered for a particular promotion because the position had not been designated a "diversity slot." Id.

2. Compensation and Evaluation Practices

When an individual is hired by Bloomberg, they are asked what their current or most recent salary is or was. Id. at ¶ 33. The Editorial Management Committee then decides the starting salary that will be authorized for the individual, determining that salary largely based on the individual's prior pay. Id. The Editorial Management Committee often agrees to offer more money to male reporters or editors who "seek[ ] a better salary," but declines to do the same for new female hires; male reporters are frequently hired at salaries that are $20,000 or more above the salaries of their female peers. Id. ¶¶ 34–35. These starting salaries continue to impact compensation throughout an employee's tenure at Bloomberg Media because, even if equal pay raises were given to men and women, the disparities created by this disparate starting pay would continue in a phenomenon called "start low, stay low." Id. ¶ 36.

Compensation for reporters, producers, and editors can be impacted by evaluations that take place every six months, but the ultimate decisions on compensation, including bonuses and pay raises, are made by the Editorial Management Committee. Id. ¶¶ 40–42. At mid-year and year-end, reporters, producers, and editors are evaluated by their team leaders, who rate each employee on a scale from one to five, with five being the best rating. Id. ¶¶ 40. Those draft evaluations are then approved by bureau chiefs and forwarded to the Editorial Management Committee. Id. The Editorial Management Committee routinely directs bureau chiefs to change certain employees’ ratings, and dictates which employees should have their ratings reduced. Id. The Editorial Management Committee then uses the employees’ low ratings to justify denying or limiting the employees’ bonuses, raises, and promotions. Id. ¶ 41–42.

B. Plaintiff Nafeesa Syeed

Ms. Syeed is a South Asian-American woman who currently resides in California. Id. ¶ 7. Ms. Syeed worked for Bloomberg from October 19, 2014 to June 8, 2018. Id. ¶¶ 7, 56. She began her work for Bloomberg as a Persian Gulf economy and government reporter in Bloomberg's Dubai news bureau. Id. ¶ 56.

1. Ms. Syeed Relocates to Washington D.C.

In or around October 2015, Ms. Syeed told Bloomberg that she had married and needed to relocate to the United States. Id. ¶ 61. She told Bloomberg that she intended to apply for editorial positions in the company's New York and Washington, D.C. offices. Id. She visited the New York and Washington D.C. offices and met with editors in both offices to express her interest in open positions relating to foreign policy, her preferred topic and area of expertise. Id. ¶¶ 62–63.

In early 2016, Ms. Syeed unsuccessfully applied for multiple reporting positions in New York and Washington, D.C. Id. ¶¶ 64–66. In January or February, she applied for a position as a foreign policy reporter in Bloomberg's Washington D.C. news bureau. Id. ¶ 64. The position was initially posted internally but later posted publicly. Id. It was ultimately filled by a man. Id.

Ms. Syeed was hired for a position in Bloomberg's Washington D.C. news bureau on March 20, 2016. Id. ¶¶ 64–66. While initially hired for a broadly defined role that would have her report on technology, national security, and foreign policy, she learned after being hired that she was a finalist for a foreign policy reporting position. Id. ¶ 66. However, after further interviews, she was instead asked to cover cybersecurity to replace a man who had been promoted. Id.

After Ms. Syeed moved to Washington, a representative from human resources told Ms. Syeed that her salary would be increased to be "more in line" with other D.C.-based reporters’ salaries. Id. ¶ 70. Ms. Syeed learned that despite her raise, she still earned less than her male peers and that, on average, women reporters’ salaries were 20% lower than male reporters’ salaries. Id. ¶¶ 70, 76. In 2017, her manager told her that she could ask for a raise, but then denied her request for a five-percent raise because she had made it "too late." Id. ¶ 76.

2. Ms. Syeed Faces Alleged Discrimination

While in Washington, Ms. Syeed encountered behavior by her male colleagues that she considered to be discriminatory. For instance, Ms. Syeed's superiors at the Washington D.C. bureau frequently confused Ms. Syeed with another South Asian female colleague. Id. ¶ 71. She also overheard her superiors make negative comments about the professional acumen of female minority employees, and her work was marginalized in favor of male reporters and editors. Id. ¶ 72. She also found herself excluded from roundtables with high-profile sources, even where she was the reporter in charge of covering the story to whom the source was relevant. Id. ¶ 75. Ms. Syeed's superiors...