PHILADELPHIA— Wet Seal Inc. has agreed to pay $7.5 million to settle a federal racial discrimination lawsuit filed by three of the retailer's former employees.
The NAACP Legal Defense Fund and Wet Seal announced the agreement May 9.
The former employees at Philadelphia-area stores claimed management set out to fire African-Americans because they didn't fit the retailer's "brand image."
Wet Seal CEO John D. Goodman says in a statement that the company appreciates the insights gained in the lawsuit and is committed to nondiscriminatory employment practices.
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