Sterling Jewelers

Last updated

Sterling Jewelers, Inc.
Type Subsidiary
Industry Retail
FoundedAugust 14, 1910;113 years ago (1910-08-14)
FounderHenry Shaw
Headquarters,
Number of locations
1,586 stores (Feb. 2018) [1]
Products Jewelry
Revenue US$3.82 billion (2017) [1]
Number of employees
13,901 (Feb. 2018) [1]
Parent Signet Jewelers
Divisions
  • Belden Jewelers
  • Goodman Jewelers
  • Jared
  • JB Robinson Jewelers
  • Kay Jewelers
  • LeRoy's Jewelers
  • Marks & Morgan Jewelers
  • Osterman Jewelers
  • Rogers Jewelers
  • Shaw's Jewelers
  • Weisfield Jewelers
Website www.SterlingJewelers.com

Sterling Jewelers, Inc. is an American specialty jewelry company headquartered in Akron, Ohio. The company was founded in 1910 by Henry Shaw (the father of Jerry Shaw, the chairman emeritus of Sterling today), from LeRoy's Jewelers in Lorain, Ohio. Sterling Jewelers is a wholly owned subsidiary of UK-based Signet Jewelers Limited (listed on the New York Stock Exchange under the symbol SIG), having been acquired in 1987. [2]

Contents

History

Signet Jewelers, based in the UK, is a specialty retail jeweler, with stores in the United States, United Kingdom, Canada, Republic of Ireland, Puerto Rico, and Channel Islands. Approximately 78% of company sales are derived from the 12 different store brands operating in the U.S. They include Belden Jewelers, [3] Ernest Jones, [4] Goodman Jewelers, [3] H.Samuel, [4] JB Robinson Jewelers, [3] JamesAllen.com, [4] Jared, [4] Kay Jewelers, [4] Le Roy's Jewelers, [3] Marks & Morgan Jewelers, [3] Osterman Jewelers, [3] Peoples, [5] Piercing Pagoda, [4] Rogers Jewelers, [3] Shaw's Jewelers, [3] Weisfield Jewelers, [3] Zales, [4] and Mappins. [6] [7] [1]

A Jared-branded store in Hillsboro, Oregon in September 2012 Jared Galleria of Jewelry Tanasbourne - Hillsboro, Oregon.JPG
A Jared-branded store in Hillsboro, Oregon in September 2012

According to the company's February 2, 2008, Annual Report & Accounts, Sterling has the number-two position in the U.S. with a 4.2% market share of all jewelry purchases. Sterling has a leading 8.8% market share in the specialty jeweler market share (highest in the sector).

Since 2009, Sterling Jewelers has been a corporate sponsor of St. Jude Children's Research Hospital, making a number of donations to many of the hospital's building, clinical, and research projects. In February 2015, the company's senior vice president of field operations estimated that the company's past commitments to the St. Jude amounted to more than $90 million. [8]

In February 2014, Signet Jewelers Ltd. agreed to buy Zale Corporation, with Zale shareholders receiving US$21 per share in cash in a US$1.4 billion deal. This merger created a $6.2 billion firm. [9]

In August 2017, it was announced that Signet Jewelers Ltd. agreed to buy R2Net, owner of online jewelry retailer JamesAllen.com, for $328 million. [10]

Sex discrimination and sexual harassment proceedings

Sterling Jewelers is being sued by 69,000 female employees and former employees for sexual harassment and sex discrimination in an ongoing class arbitration proceeding, [11] [12] In February 2017, The Washington Post obtained and reported on declarations made by about 250 women and men who worked for the company. The declarations state that men in supervisory roles at Kay Jewelers and Jared the Galleria of Jewelry sexually harassed younger saleswomen by groping, making demeaning comments, and demanding of sexual favors in return for promotions and higher pay. Signet Jewelers's CEO Mark Light and other senior executives were among those accused of demanding sexual favors. [11] The former employees also accuse Sterling of wage violations, contending that women at the company were "systematically paid less than men and passed over for promotions given to less experienced male colleagues." [11] The company denies the allegations. [11]

Separately, the Equal Employment Opportunity Commission brought sex discrimination claims against the company in 2008. [13] In May 2017, the EEOC and Sterling Jewelers settled the case by a consent decree; under the settlement, Sterling Jewelers does not have to pay a monetary sum and does not acknowledge any wrongdoing, but agreed to adopt new anti-discrimination policies and to hire an independent expert to review the company's compensation and promotion policies. The EEOC settlement does not affect the separate class action proceeding. [14] [15]

Credit card practices case

On January 16, 2019, Sterling Jewelers paid $11 million under a settlement with the Consumer Financial Protection Bureau. The Bureau's investigations concluded that Sterling violated the Consumer Financial Protection Act of 2010 by signing customers up for store credit without their knowledge or consent and enrolling them in payment-protection insurance. [16] The investigations also found that the company violated the Truth in Lending Act when customers were signed-up for credit-card accounts without receiving an application from them. Sterling's parent company, Signet Jewelers Ltd, refuted the allegations but then accepted the settlement. [17]

Store closings

In April 2019, Sterling Jewelers announced the closure of 150 stores, mostly in mall locations that see poor foot traffic or with duplicate stores in the Sterling chain (such as a Kay and a Zales). [18]

Related Research Articles

<span class="mw-page-title-main">Best Buy</span> American multinational consumer electronics retailer

Best Buy Co. Inc. is an American multinational consumer electronics retailer headquartered in Richfield, Minnesota. Originally founded by Richard M. Schulze and James Wheeler in 1966 as an audio specialty store called Sound of Music, it was rebranded under its current name with an emphasis on consumer electronics in 1983.

Walgreens is an American company that operates the second-largest pharmacy store chain in the United States, behind CVS Health. It specializes in filling prescriptions, health and wellness products, health information, and photo services. It was founded in Chicago in 1901, and is headquartered in the Chicago suburb of Deerfield, Illinois. On December 31, 2014, Walgreens and Switzerland-based Alliance Boots merged to form a new holding company, Walgreens Boots Alliance. Walgreens became a subsidiary of the new company, which retained its Deerfield headquarters and trades on the Nasdaq under the symbol WBA. In 2021 the company was found by a federal jury to have "substantially contributed to" the opioid crisis.

<span class="mw-page-title-main">Equal Employment Opportunity Commission</span> United States government agency enforcing civil rights laws against workplace discrimination

The U.S. Equal Employment Opportunity Commission (EEOC) is a federal agency that was established via the Civil Rights Act of 1964 to administer and enforce civil rights laws against workplace discrimination. The EEOC investigates discrimination complaints based on an individual's race, color, national origin, religion, sex, age, disability, genetic information, and retaliation for participating in a discrimination complaint proceeding and/or opposing a discriminatory practice.

<span class="mw-page-title-main">Signet Jewelers</span> Jewelry retailer

Signet Jewelers Ltd. is, as of 2015, the world's largest retailer of diamond jewellery. The company is domiciled in Bermuda and headquartered in Akron, Ohio, and is listed on the New York Stock Exchange. The group operates in the middle market jewellery segment and has number one positions in the US, Canada and UK speciality jewellery markets. Certain brands operate in the upper middle market. Signet Jewelers owns and operates the companies Blue Nile, Zales, Kay Jewelers, Jared, JamesAllen.com, and others.

<span class="mw-page-title-main">Jewelry Television</span> American television network

Jewelry Television is an American television network specializing in the sale of jewelry. On-air and online, the network is mainly branded by its jtv initials in lower-case letters. It has an estimated reach of more than 80 million U.S. households, through cable and satellite providers, online streaming and limited over-the-air broadcasters.

<span class="mw-page-title-main">Equal employment opportunity</span> Protection of US employees from types of employment discrimination

Equal employment opportunity is equal opportunity to attain or maintain employment in a company, organization, or other institution. Examples of legislation to foster it or to protect it from eroding include the U.S. Equal Employment Opportunity Commission, which was established by Title VII of the Civil Rights Act of 1964 to assist in the protection of United States employees from discrimination. The law was the first federal law designed to protect most US employees from employment discrimination based on that employee's race, color, religion, sex, or national origin.

<span class="mw-page-title-main">Rent-A-Center</span>

Rent-A-Center is an American public furniture and electronics rent-to-own company based in Plano, Texas. The company was incorporated in 1986 and as of 2014 operates approximately 2,972 company-owned stores in the United States, Puerto Rico and Mexico, accounting for approximately 35% of the rent-to-own market in the United States based on store count.

<span class="mw-page-title-main">Zale Corporation</span> American jewelry retailer

The Zale Corporation is an American jewelry retailer, incorporated in Delaware in 1993. The principal executive offices are located in Coppell, Texas.

Employment discrimination law in the United States derives from the common law, and is codified in numerous state, federal, and local laws. These laws prohibit discrimination based on certain characteristics or "protected categories". The United States Constitution also prohibits discrimination by federal and state governments against their public employees. Discrimination in the private sector is not directly constrained by the Constitution, but has become subject to a growing body of federal and state law, including the Title VII of the Civil Rights Act of 1964. Federal law prohibits discrimination in a number of areas, including recruiting, hiring, job evaluations, promotion policies, training, compensation and disciplinary action. State laws often extend protection to additional categories or employers.

The California Fair Employment and Housing Act of 1959, codified as Government Code §§12900 - 12996, is a California statute used to fight sexual harassment and other forms of unlawful discrimination in employment and housing, which was passed on September 18, 1959.

The Maine Mall is an enclosed shopping mall in South Portland, Maine, United States. Owned and managed by Brookfield Properties, it is the largest shopping mall in the state of Maine, and the second-largest in northern New England, behind New Hampshire’s The Mall at Rockingham Park.

<span class="mw-page-title-main">Bailey Banks & Biddle</span>

Bailey Banks & Biddle was a retailer of jewelry and designer of US medals that was formed in Philadelphia, Pennsylvania, in 1832.

<span class="mw-page-title-main">Sandusky Mall</span> Shopping mall in Ohio, U.S.

Sandusky Mall is an indoor shopping center located in Perkins Township, south of Sandusky, Ohio. It is located on the east side of US Route 250, north of I-80/I-90 and Ohio State Route 2. It is the only major shopping center within 45 miles (72 km). It comprises more than 70 stores; the anchor stores are TJ Maxx, JCPenney, Books-A-Million, Dewey Furniture, Five Below, and Ross. JCPenney had previously operated a store in downtown Sandusky. It is managed by Cafaro Company of Niles, Ohio.

ULTRA Diamonds was a seller of fine jewelry in factory outlet and value centers in the United States. ULTRA was a manufacturer as well as a direct importer of diamonds, gemstones, and gold jewelry. At one point, Ultra operated over 100 stores in outlet centers and 38 other format locations. The company went through though bankruptcy in 2001–2002, and again after the financial crisis of 2007–2008. On November 2, 2012, the company was acquired by Signet Jewelers.

<span class="mw-page-title-main">LGBT employment discrimination in the United States</span>

LGBT employment discrimination in the United States is illegal under Title VII of the Civil Rights Act of 1964; employment discrimination on the basis of sexual orientation or gender identity is encompassed by the law's prohibition of employment discrimination on the basis of sex. Prior to the landmark cases Bostock v. Clayton County and R.G. & G.R. Harris Funeral Homes Inc. v. Equal Employment Opportunity Commission (2020), employment protections for LGBT people were patchwork; several states and localities explicitly prohibit harassment and bias in employment decisions on the basis of sexual orientation and/or gender identity, although some only cover public employees. Prior to the Bostock decision, the Equal Employment Opportunity Commission (EEOC) interpreted Title VII to cover LGBT employees; the EEOC determined that transgender employees were protected under Title VII in 2012, and extended the protection to encompass sexual orientation in 2015.

Alex and Ani is an American retailer and producer of jewelry located in Cranston, Rhode Island.

Sexual harassment in the workplace in US labor law has been considered a form of discrimination on the basis of sex in the United States since the mid-1970s. There are two forms of sexual harassment recognized by United States law: quid pro quo sexual harassment and behavior that creates a hostile work environment. It has been noted that a number of the early sexual harassment cases were brought by African American women and girls.

Altitude Express, Inc. v. Zarda, 590 U.S. ___ (2020), is a landmark United States Supreme Court civil rights case which ruled that under Title VII of the Civil Rights Act of 1964 employees could not be discriminated against on the basis of sexual orientation or gender identity.

R.G. & G.R. Harris Funeral Homes Inc. v. Equal Employment Opportunity Commission, 590 U.S. ___ (2020), is a landmark United States Supreme Court case which ruled that Title VII of the Civil Rights Act of 1964 protects transgender people from employment discrimination.

Bostock v. Clayton County, 590 U.S. ___ (2020), is a landmark United States Supreme Court civil rights decision in which the Court held that Title VII of the Civil Rights Act of 1964 protects employees against discrimination because of sexuality or gender identity.

References

  1. 1 2 3 4 2017 Form 10-K (Annual report)
  2. "Sterling Jewelers' parent reports record first-quarter results". Crain's Cleveland Business . May 26, 2011. Retrieved June 12, 2011.
  3. 1 2 3 4 5 6 7 8 9 "J.B. Robinson Jewelers Locations". Sterling Jewelers. Retrieved February 13, 2019. See the logos at the top of the page.
  4. 1 2 3 4 5 6 7 "The Sterling Family of Jewelers". Signet Jewelers. Retrieved February 13, 2019.
  5. "About Signet Jewelers". Signet Jewelers. Retrieved February 13, 2019.
  6. "Regional Brands". Signet Jewelers. Retrieved February 13, 2019.
  7. "Stores". Signet Jewelers. Retrieved February 13, 2019.
  8. St. Jude announces new $50M partnership, Memphis Business Journal (February 19, 2015).
  9. Wahba, Phil (February 19, 2014). "Kay Jewelers parent Signet to buy rival Zale for $690 million". Reuters .
  10. Suttell, Scott. "Signet Jewelers buys online retailer for $328 million", Crain's Cleveland Business, August 28, 2017. Retrieved on August 28, 2017.
  11. 1 2 3 4 Harwell, Drew (February 27, 2017). "Hundreds allege sex harassment, discrimination at Kay and Jared jewelry company". The Washington Post .
  12. Wiener-Bronner, Danielle (February 27, 2017). "Company that owns Kay and Jared jewelry chains hit with allegations of rampant discrimination". CNNMoney. The company has been locked in an arbitration battle for nearly a decade with hundreds of former employees who allege that women were accosted, pressured into sex for advancement or protection, and routinely paid less than men.
  13. Mark W. Batten; Jessica N. Childress (September 11, 2015). "Second Circuit Decision Resuscitates EEOC's Gender Discrimination Suit Against Sterling Jewelers". National Law Review . Proskauer Rose LLP.
  14. Rachel Abrams, "Sterling Jewelers Settles Charges of Bias Against Female Workers", The New York Times (May 5, 2017).
  15. Daniel Wiessner, "Sterling Jewelers settles U.S. agency's sex bias claims", Reuters (May 5, 2017).
  16. "Consumer Financial Protection Bureau Settles Claims with Sterling Jewelers, Inc". Consumer Financial Protection Bureau. Retrieved January 18, 2019.
  17. "Ohio-based Sterling Jewelers to pay $11M settlement over credit practices". WCMH. Associated Press. January 17, 2019. Retrieved January 18, 2019.
  18. "Owner of Kay Jewelers, Zales and Jared to close 150 more stores". CBS News . Retrieved April 5, 2019.

Further reading