Google pays $118 million to female employees; settles discrimination lawsuit
What's the story
Tech giant Google has settled a class-action lawsuit over gender discrimination and equitable pay by paying $118 million to more than 15,500 female employees. The settlement covers employees working for the company in California, in 236 job titles since September 14, 2013. An independent organizational psychologist will also analyze the firm's hiring and compensation policies as part of the settlement.
Context
Why does this story matter?
This is not the first time that Google is facing heat over its alleged policies of discrimination. In 2021, the firm had paid $3.8 million to the US Department of Labor over accusations of discrimination against Asians and women. However, things seem to be taking a turn for the better, as Google has decided to undergo "rigorous analysis" to ensure fairness in all roles.
Details
Google was accused of paying $17,000 less to female staff
In September 2017, former employees Heidi Lamar, Kelly Ellis, Kelli Wisuri, and Holly Pease, filed a lawsuit. It claimed that Lamar, a teacher at Google's children's center, received $18.51 an hour. However, her male counterpart with fewer qualifications got $21. Moreover, last year, Google was accused of paying its female staff $17,000 a year less than the males for the same work.
Hope
'Settlement will ensure equity for women in tech industry'
Pease believes that Google's actions will lead to a positive change. "As a woman who has spent her entire career in the tech industry, I'm optimistic that the actions Google has agreed to take as part of this settlement will ensure more equity for women," said Pease. "They also have an opportunity to lead the charge to ensure inclusion for women in tech."
Official words
'Strongly believe in the equity of our policies'
Google has put out a statement conveying its relief over the lawsuit being settled. "While we strongly believe in the equity of our policies and practices, after nearly five years of litigation, both sides agreed that resolution of the matter, without any admission or findings, was in the best interest of everyone, and we're very pleased to reach this agreement."