Texaco Case Study

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Symptoms of Problems at Texaco
Identification of Root Problems and Unresolved Issues

Highly qualified African-American employees filed a class action suit against Texaco in 1994, stating that the company failed to promote African-American employees to a higher position and it failed to compensate them in relation to Caucasian employees in similar positions. Throughout the investigation of Texaco if was found that documents would potentially damage Texaco were being withheld. When secret tape recordings from Texaco executives revealed not only vilely insensitive racial attitudes but it also demonstrated the eagerness of the executives to withhold any and all sensitive internal documents pertaining to the discrimination court case.

Discrimination throughout Texaco was a big problem. Texaco's problems were not just with the lower-level employees, but also with the other levels of management. Comments from Caucasian managers were "I never thought I'd see the day when a black woman had an office at Texaco" (Trevino, 2004). Being called uppity and a "smart-mouthed little colored girl" (Roberts, 1996) were only some of the comments made by the Caucasian employees. The company's problems got worse when a former senior financial analyst wrote a book speaking about the humiliating experiences that minorities faced while at Texaco, this would also include him. These problems continued because the minorities at Texaco were scared to speak up for themselves at the time. When minority employees would file a grievance they would not be addressed and no one would follow through. Management and other employees were scared that their jobs would be given to the minorities and that minorities would have more control than they did. (RW Online, 2004. Texaco: Case Study of Corporate Racism para5). The persons responsible for investigating and reprimanding those who were discriminating never took action against those committing these actions leaving those that were...
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