Lawsuit filed by shareholder requests data, alleges Victoria’s Secret has ‘poisonous culture of sexual harassment’

People stroll previous a Victoria’s Secret retailer in Barcelona.

John Milner | LightRocket | Getty Images

A shareholder of L Brands, the mum or dad firm of Victoria’s Secret, is suing the corporate for data and alleging that its bra and lingerie model has had a “toxic culture of sexual harassment, discrimination, and retaliation” for years.

According to the criticism filed Thursday, shareholder John Giarratano initially requested to see the corporate’s books in mid-February after The New York Times reported a sample of bullying and harassment at Victoria’s Secret. Giarratano needed to research potential wrongdoing by the corporate or its board.

According to the lawsuit, the shareholder was troubled by studying about therapy of staff and fashions.

“While the brand has come under scrutiny in recent years for its ‘porny’ image and portrayal of women as sex objects, the public could not have predicted the depths of wrongdoing at the Company,” it stated.

Since then, the lawsuit stated the corporate hasn’t supplied any paperwork and has ignored his messages following up.

“This stonewalling is all the more disappointing given that recent reporting has made clear that Victoria’s Secret is in urgent need of reform,” the lawsuit stated, including that the deeply entrenched and poisonous culture on the model created an abusive and hostile work setting that was perpetuated and condoned by senior L Brands executives.”

A spokeswoman for L Brands did not immediately respond to a request for comment.

Giarratano is the beneficial owner of about 216 shares of L Brands stock, according to the complaint.

The lawsuit is the latest challenge for the struggling retailer. Victoria’s Secret has lost ground as its brand — long associated with sexy lingerie and skinny models — fell out of favor with customers. It was tossed into the spotlight as L Brands’ then-CEO Les Wexner was closely tied to Jeffrey Epstein, the disgraced financier accused of sex trafficking. And then, the pandemic hit and temporarily shuttered its stores.

L Brands’ deal to take the company private and sell the majority of the flagship brand to private equity firm, Sycamore Partners, fell aside in early May.

In the primary quarter, Victoria Secret’s net sales dropped by 37% in the first quarter, compared with last year.

In late May, L Brands said it’s going to shut more than 200 stores this year — and warned that more closures are coming.

Shares of L Brands have fallen nearly 26% over the past year, and are valued at nearly $5 billion. 

Bloomberg Law reported the lawsuit earlier Thursday. 

Source hyperlink

What do you think?

Written by Business Boy


Leave a Reply

Your email address will not be published. Required fields are marked *



The future of commerce needs more diverse voices, Shopify COO says

Abu Dhabi fund Mubadala to invest Rs 9,093 cr in Jio Platforms; becomes sixth investor in Reliance Industries unit in as many weeks – Firstpost