Google to pay $118 million to settle gender discrimination lawsuit

Google is set to pay $118 million to settle a class-action gender discrimination lawsuit involving about 15,500 women (via Bloomberg). As noted in the settlement's press release, Google also requires an independent labor economist to evaluate its hiring practices and pay equity study.

The lawsuit first surfaced in 2017 when three women accused the company of underpaying female workers, citing a pay gap of nearly $17,000 in violation of California's Equal Pay Act. The complaint also alleges that Google locks women into lower career tracks, leading to lower salaries and fewer bonuses than their male counterparts. The plaintiff achieved class-action status last year.

Google's dealings with workers have been the target of scrutiny more than once. Last year, Google agreed to pay $2.5 million to settle a lawsuit that claimed the company underpaid female engineers and ignored Asian job applicants. California's Department of Fair Employment and Housing (DFEH) is also investigating the company over complaints of potential harassment and discrimination against black women workers.

A plaintiff in the case, Holly Pease, said, "As a woman who has spent her entire career in the tech industry, I am optimistic that the actions Google has agreed to take as part of this settlement will be Will ensure greater equity for women." a statement. "Google, since its inception, has led the tech industry. She also has the opportunity to lead the charge in ensuring inclusion and equality for women in tech."

The terms of the settlement still need to be approved by a judge at a hearing on June 21. "While we strongly believe in the equality of our policies and practices, after nearly five years of litigation, both parties agreed that the resolution of the matter, without any acceptance or conclusion, was in the best interest of all, and We are very pleased to reach this agreement,” Google said in a statement to The Verge. The company said it is “fully and equitably paid, hiring and leveling up all employees.” is committed to,” and makes an “upward adjustment” if it finds pay disparities between male and female employees.

Several similar lawsuits targeting the pay gap have surfaced within the past decade, with class-action gender discrimination lawsuits against Microsoft and Twitter failing to gain traction. Oracle is also facing a class-action lawsuit alleging unequal pay, but according to Bloomberg law, the group of women suing the company is likely to lose class-action status because a judge ruled Said a class with 3,000 employees and 125 job classifications would be "unbearable". To proceed with the test. Other tech companies like Apple and Riot Games have also faced allegations of pay disparity.