The US labor department and the Office of Federal Contract Compliance Programs (OFCCP) perceived pay inequalities concerning female employees in software engineering positions at its facilities in Mountain View, and in Seattle and Kirkland, Washington. It also recognized “hiring rate differences that disadvantaged female and Asian applicants for software engineering positions at Google’s locations in San Francisco and Sunnyvale, and in Kirkland.”
As part of the settlement, Google will spend over $3 million to solve the accusations. The tech giant will give $1,353,052 in back pay and interest to 2,565 female employees in engineering trades directed to pay differentiation, and $1,232,000 in back pay and interest to 1,757 female and 1,219 Asian applicants for software engineering positions not chosen, as per the OFCCP. The US Department of labor also recorded that Google will allot a cash reserve of at least $1,250,000 in pay-equity regulations for the next 5 years for US employees in engineering positions.
“We believe everyone should be paid based upon the work they do, not who they are, and invest heavily to make our hiring and compensation processes fair and unbiased,” a Google spokeswoman said in response to an AFP inquiry. As part of the contract, Google has admitted to reviewing its systems, procedures, and practices linked to hiring and compensation, according to the labor department. The internet goliath will permit employees to use courts rather than private negotiation to resolve disputes over treatment.
“Pay discrimination remains a systemic problem,” Jenny Yang, the head of the office of federal contract compliance programs, said in a release. “Employers must conduct regular pay equity audits to ensure that their compensation systems promote equal opportunity.”The agency also said that it uncovered “hiring rate differences” that put female and Asian applicants at disadvantages for software engineering positions.
In 2018, over 20,000 Google workers and contractors engaged in the mass global strike to oppose the company’s treatment of sexual harassment charges against top officials. The strike of 2018 was sparked by an inquiry from The New York Times that exposed how Android co-founder Andy Rubin was given $90 million upon his departure from the company after it discovered a sexual assault charge against him.
The suit claimed that Alphabet’s board and senior executives inappropriately granted multi-million-dollar section packages to various male executives blamed for sexually attacking female employees, even after internal inquiries discovered the charges to be trustworthy. Earlier this year, roughly 230 employees and contractors formed a minority union, The Verge reported. The organization, the Alphabet Workers Union (AWU) reportedly has more than 800 members.