Google has agreed to pay $28 million to settle a class action lawsuit that claimed the tech giant favored white and Asian employees by offering them higher pay and career advancement opportunities than other workers.
The settlement, which received preliminary approval from Judge Charles Adams of the Santa Clara County Superior Court in California, covers a class of at least 6,632 Google employees in California between February 15, 2018, and December 31, 2024.
Judge Adams described the settlement as "fair" and "a good result for the class."
Allegations of unequal treatment
The lawsuit was brought by Ana Cantu, a former Google employee who identifies as Mexican and racially Indigenous. Cantu claimed that despite performing strong work during her seven years in Google's people operations and cloud departments, she remained at the same job level while white and Asian colleagues received better pay and faster promotions.
Cantu alleged that Google systematically placed white and Asian employees in higher job "levels," even when they performed comparable work, while withholding raises and promotions from employees who voiced concerns about the disparity.
Cantu claimed Google's actions violated the California Equal Pay Act. She left the company in September 2021.
Settlement details and legal proceedings
The settlement follows an agreement by Cantu's legal team earlier this month to exclude Black employees from the proposed class, a move that Google had requested.
Net settlement proceeds will total $20.4 million after deductions for $7 million in legal fees, penalties related to Cantu's claim under California's Private Attorneys General Act, and other costs.
Google spokesperson Courtenay Mencini confirmed the settlement but maintained the company's stance that it had not engaged in discrimination. “We continue to disagree with the allegations that we treated anyone differently, and remain committed to paying, hiring, and levelling all employees fairly,” Mencini said.
A hearing to consider final approval of the settlement is scheduled for September 11. Cantu's legal representatives have not yet commented on the outcome.
The settlement highlights ongoing concerns about equal pay practices in the tech sector, reinforcing the importance for HR leaders to ensure pay equity, transparent promotion pathways, and clear grievance procedures to address workplace inequalities.