Google is facing a class-action lawsuit over claims it paid female employees nearly $17,000 less per year than male staff for the same work

Google CEO Sundar Pichai speaks during the Google I/O 2016 developers conference in Mountain View, California
Google CEO Sundar Pichai speaks during a developers conference.

  • Former female Google staff won class-action status for a gender equity lawsuit against the company.
  • The four women alleged that Google paid female staff nearly $17,000 less per year than the men.
  • The claimants represent 10,800 women who claim Google pays women less than men for the same job.
  • See more stories on Insider’s business page.

Google on Thursday suffered a setback as a San Francisco state judge awarded class-action status to a lawsuit over unequal pay between men and women for the same work, Bloomberg first reported.

The lawsuit was first filed by four former female workers at Google in 2017. In it, the women allege that Google violated California’s Equal Pay Act “by paying female employees lower compensation than Google pays to male employees performing substantially similar work.”

A previously disclosed analysis seen by Bloomberg showed that the case seeks more than $600 million in damages.

The women represent around 10,800 women employed by Google who claim that the company pays men more for doing the same job, according to a July court filing. The court filing said that the search engine company paid female employees around $16,794 less per year than “the similarly-situated man.”

“Google paid women less base salary, smaller bonuses, and less stock than men in the same job code and location,” the July filing said.

“We strongly believe in the equity of our policies and practices,” a Google spokesperson told Insider. “For the past eight years, we have run a rigorous pay equity analysis to make sure salaries, bonuses and equity awards are fair. If we find any differences in proposed pay, including between men and women, we make upward adjustments to remove them before new compensation goes into effect. In 2020 alone, we made upward adjustments for 2,352 employees, across nearly every demographic category, totalling $4.4M. We also undertake rigorous analyses to ensure fairness in role leveling and performance ratings.”

Kelly Dermody, a lawyer representing the women, said in an email to Bloomberg that the next step is getting the case to trial which could happen in 2022.

“This is a significant day for women at Google and in the technology sector, and we are so proud of our brave clients for leading the way,” Dermody said. “This order shows that it is critical that companies prioritize paying women equitably over spending money fighting them in litigation.”

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Top Google exec Caesar Sengupta is quitting after 15 years at the firm. He leads the ‘Next Billion Users’ group, which searches for the company’s next blockbuster product.

Caesar Sengupta Google
Caesar Sengupta, GM and VP of payments at Google, is leaving the firm.

  • Caesar Sengupta, the man behind Google Pay and Next Billion Users initiative, is leaving Google.
  • “It’s time for me to see if I can ride without training wheels,” he said in a LinkedIn post.
  • He worked at the tech giant for 15 years.
  • See more stories on Insider’s business page.

Senior Google executive Caesar Sengupta, head of the tech giant’s payment initiatives, said on Monday he was leaving the company next month, after 15 years.

“I remain very positive about Google’s future but it’s time for me to see if I can ride without training wheels,” Sengupta, vice president and general manager of payments and the “Next Billion Users” initiative, said in a LinkedIn post.

He was also one of the key people behind the launch and success of Google Pay in India, and helped the payment app’s relaunch in the US and Singapore. The payment facility is now used by over 150 million users in 30 countries.

“My last day at Google will be April 30th. I haven’t decided what I will start next,” said Sengupta, who is based in Singapore.

In his LinkedIn post, he thanked Google CEO Sundar Pichai and his leadership team for their support.

“Through his time at Google, Caesar has played a key role in starting, building and leading initiatives such as ChromeOS, Next Billion Users and Google Pay,” a Google spokesperson said in an emailed statement.

“We are excited to see what he builds next and wish him the best in his new journey.”

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