According to Bloomberg, Google will pay $118 million to resolve a class-action gender discrimination case involving roughly 15,500 women. According to the press release announcing the settlement, Google must also have an outside labor economist assess its recruiting procedures and pay equity studies.
The lawsuit first emerged in 2017 after three women filed a complaint accusing the company of underpaying female workers in violation of California’s Equal Pay Act, citing a wage gap of around $17,000. The complaint also alleges Google locks women into lower career tracks, leading to less pay and lower bonuses when compared to their male counterparts. The plaintiffs won class-action status last year.
Google’s treatment of workers has 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 overlooked 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 female employees.