Dive Bright:
- New York Attorney General Eric Schneiderman has reportedly contacted both Barneys and Macy's in response to allegations that employees improperly questions customers based on race.
- The New York Daily news reports that the companies will have until Friday to respond to the inquiries as Schneiderman's office conducts its investigation.
- Macy's faced a racial discrimination lawsuit from the attorney general's office in 2005, but that suit was resolved after Macy's agreed to pay damages and implement new practices.
Dive Insight:
Macy's settled the 2005 suit for good reason. Neither of these companies will want to be know for the types of alleged practices that prompted this new investigation. Nevertheless, all eyes will be on their responses and how they proceed publicly whether or not they participate in a public dialog. Al Sharpton is scheduled to meet with Barneys' CEO on Tuesday, which could be a step toward a constructive solution.