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Google Pays $118 Million To Settle Lawsuit Alleging It Paid Female Employees Lesser Than Male Employees

June 13, 2022 | by Priyadarshini Malavia

In 2017, many former Google workers sued the firm in a San Francisco court, alleging it of paying women less than males for the same positions and assigning women lesser positions than men with comparable experience because they had previously received lower salaries. The company has now decided to settle the matter by paying  $118 million.

Google said on Sunday that it was “very pleased” to settle a class-action lawsuit alleging that it underpaid female employees and assigned women lower-ranking roles. The $118 million settlement includes about 15,500 female employees who have worked for the corporation in California since September 2013, according to a statement posted Friday night by legal firms  Altshuler Berzon LLP and Lieff Cabraser Heimann & Bernstein LLP.

As part of the settlement, the company agreed to have a third party examine its hiring and remuneration procedures. Google, according to sources, stated that “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.”

Elon Musk also took to Twitter and commented upon the matter: 

Also Read: Google Hires Former Indian Govt. Officer Archana Gulati As New Public Policy Head In India

According to a copy of the settlement disclosed by the law firms, Google disputes all of the allegations in the case and maintains that it has always complied fully with all applicable laws, rules, and regulations. According to the plaintiffs’ two law firms, the deal must still be approved by a judge. In response to claims of discrimination against women and Asians, Google already promised to pay the US Department of Labor $3.8 million in 2021.

Also Read: Study Reveals Women’s Earnings Continue To Drop After Childbirth. Is Gender Pay Gap Progress A Myth?

For three years after the settlement is legally accepted, Google will allow third-party specialists to assess how it might improve its pay equality procedure and be fairer when setting positions and pay for new recruits. According to the plaintiffs’ attorneys, Altshuler Berzon and Lieff Cabraser Heimann & Bernstein, there will also be an outside monitor to see if the corporation is following the experts’ recommendations.

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