US: Google has agreed to pay $28 million (£21.5 million) to settle a lawsuit that alleged white and Asian employees received better pay and career opportunities than workers from other ethnic backgrounds.
The technology company confirmed the settlement but maintained that it did not engage in discriminatory practices.
The class-action lawsuit, initially filed in 2021 by former Google employee Ana Cantu, claimed that workers from Hispanic, Latino, Native American, and other minority backgrounds were hired at lower salaries and job levels than their white and Asian colleagues.
The case was supported by a leaked internal document that allegedly showed disparities in compensation among employees of different ethnicities.
According to Ms. Cantu’s lawyers, Google’s practice of basing starting salaries and job levels on prior earnings perpetuated historical racial and ethnic pay disparities. The lawsuit represented at least 6,632 Google employees between February 15, 2018, and December 31, 2024.
The settlement received preliminary approval from Judge Charles Adams of the Santa Clara County Superior Court in California.
Despite the settlement, Google has denied any wrongdoing. The case comes amid a broader trend in the corporate world, where major US companies, including Google, have been retreating from diversity, equity, and inclusion (DEI) initiatives. Firms such as Meta, Amazon, Pepsi, McDonald’s, and Walmart have also rolled back DEI programs in response to political and legal challenges.
The rollback aligns with policies promoted by US President Donald Trump and his allies, who have criticized DEI initiatives. Since returning to the White House, Trump has directed government agencies and contractors to eliminate DEI policies.
Google’s settlement highlights the ongoing debate over workplace equity and the challenges of ensuring fair compensation in the tech industry.
