World Economic Forum faces lawsuit over workplace discrimination allegations

New Delhi, July 09: A former employee has filed a lawsuit against the World Economic Forum (WEF), accusing the Swiss non-profit of workplace discrimination. The allegations include creating a hostile environment for women and Black employees, according to the Financial Times article.

Topaz Smith, a Black woman, worked at the WEF for nearly two years. She claims she was denied professional opportunities due to her race and gender and was retaliated against for having a child. The lawsuit, filed in New York, describes the WEF as having "a scofflaw approach to anti-discrimination laws, permitting an atmosphere that is hostile to women and Black employees." Smith alleges that she was replaced by a "non-pregnant, white employee" during her maternity leave and was fired in February.

According to the newspaper article Smith's lawyer, Valdi Licul, stated, "It is long past time that the Forum and Mr Schwab are held to account for their horrendous pattern of sexualising and objectifying women. The Forum and Mr Schwab should be made to understand that such discrimination is flatly unlawful in the United States."

The WEF responded, calling the claims "false" and expressing confidence that the lawsuit would reveal the "frivolousness and falsity" of the allegations.

This lawsuit follows other reports of discrimination and harassment at the WEF, which hosts the annual Davos conference attended by global leaders. Klaus Schwab, the founder of the forum, announced in May that he would step down as executive chair but remain chair of the WEF’s board of trustees.

A recent article in The Wall Street Journal also detailed numerous allegations of harassment and discrimination within the WEF. The report included claims that female staff were often subject to unwanted advances at the Davos conference and that the organization did little to address the behaviour.

The Financial Times' coverage of these allegations adds to the growing scrutiny of the WEF's workplace culture as the organization prepares for its next high-profile event in Davos.