Google settles discrimination suit with $28M payout

In a significant legal development, Google has agreed to a $28 million settlement to resolve a class action lawsuit alleging racial discrimination in pay and career advancement opportunities. The lawsuit accused the tech giant of favoring white and Asian employees over minority workers in terms of salary and career positioning.

The legal action was spearheaded by Ana Cantu, identified as a Mexican racially indigenous individual, who represented a diverse group of minority communities, including Hispanic, Latino, and Native American employees at the corporation.

The settlement was given the green light by Judge Charles Adams of California's Santa Clara County Superior Court last week. Judge Adams described the agreement as "fair and reasonable," declaring it a positive outcome for the class of 6,632 Google employees who worked in California between February 15, 2018, and December 31, 2024.

Despite reaching a settlement, Google maintained its stance against the claims. A company spokesperson stated, "We continue to disagree with the allegations that we treated anyone differently and remain committed to paying, hiring, and leveling all employees fairly."

Cantu, who resigned from Google in September 2021, argued that despite her seven years of exemplary service, she remained stagnant in her role while white and Asian colleagues received promotions and higher pay. She also claimed that minority employees performing equivalently were assigned lower job "levels," and that those who raised concerns faced obstacles in career advancement.

She contended that these actions violated the California Equal Pay Act, prompting her to leave the company.

The final settlement amount allocates $20.4 million to affected employees after accounting for $7 million in legal fees, penalties related to Cantu's claim under California's Private Attorneys General Act, and other associated costs.