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    FedEx settles discrimination lawsuit

    ATLANTA—FedEx Corp., the world’s largest air-cargo carrier, received final approval to pay almost $55 million to end a class-action discrimination lawsuit on behalf of black and Hispanic workers at its FedEx Express unit.

    In an order signed Wednesday and posted on the court’s web site Thursday, US District Judge Susan Illston in San Francisco approved the settlement covering 20,000 checker-sorters, customer service agents, freight handlers and other workers.

    Derrick Satchell and eight other employees sued the unit in 2003, claiming they were denied promotions and raises equal to those given white colleagues.

    FedEx dropped its requirement for candidates for courier jobs to pass a map-reading, listening, reading and sorting skills test after the suit was filed, said spokeswoman Sally Davenport. Under the agreement, FedEx will change its promotion practices and will be monitored by a court-appointed special master.

    “We are gratified that the Court granted final approval of the settlement which draws this matter to a close and allows the company to move forward and avoid the expense and uncertainty of protracted litigation,’’ Larry Brown, senior vice president and chief human resources officer for FedEx Express, said in a statement.

    The court also approved the payment of $15 mill- ion in attorney fees and costs from the settlement proceeds, attorney Waukeen McCoy, who was co-lead counsel for the class, said in a phone interview.

    “We’re definitely very happy that the court believed we acted in the best interests of the clients to get the matter resolved,’’ said McCoy, the principal of the Law Offices of Waukeen Q. McCoy in San Francisco.

    In April, the parties received preliminary approval of the agreement after a year of court-ordered negotiations.

    The company denied all allegations of discrimination.

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    read more