Google is going to shell out $3.8 million, which includes $2.6 million in back pay, as settlement of allegations that it underpaid women employees and unfairly ignored women and Asians for job openings announced the U.S. Department of Labor. The allegations came from a routine compliance audit a few years ago which was required for the company's status as a technology supplier to the government.
Alphabet Inc’s Google said it was happy to resolve the matter. The Office of Federal Contract Compliance Programs reported that it saw “preliminary indicators” that from 2014 to 2017 Google had underpaid 2,783 women, at times, in its software engineering group in California, and Seattle.
It was further found that the hiring rate differences in Google were against women and Asian candidates during 2017, for software engineering roles based in San Francisco, California, Sunnyvale, Washington and Kirkland.
The settlement includes $2.6 million in back pay to 5,500 employees and job candidates as well as asking Google to conduct a review of hiring and salary practices. Google has to also pay $1.25 million for pay adjustments for Mountain View, Kirkland, Seattle, and New York engineers in five years. Unused funds are to be spent on diversity efforts at the company.
The company conducts annual pay audits but remains under public scrutiny, like other big tech companies, for a workforce that is not reflective of the country’s vibrant diversity.
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