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Google to Pay $28 Million to Settle Racial Bias Lawsuit, Denies Wrongdoing

March 19, 2025

By The South Asia Times

WASHINGTON - Tech giant Google has agreed to pay $28 million to settle a class-action lawsuit alleging racial bias in pay and career advancement, according to a report by the BBC on Wednesday. The company, however, has denied any wrongdoing.

The lawsuit, originally filed in 2021 by former Google employee Ana Cantu, claimed that Hispanic, Latino, Native American, and other minority workers were systematically placed in lower-paying positions compared to their white and Asian colleagues. It further alleged that these employees faced fewer career growth opportunities within the company, according to Anadolu Agency.

According to the lawsuit, an internal Google document was leaked, revealing disparities in pay for employees performing similar work. The findings reinforced concerns of systemic inequities within Google’s compensation structure.

Settlement Details and Company Response

The settlement covers at least 6,632 current and former employees who worked at Google between February 15, 2018, and December 31, 2024. A California judge has granted preliminary approval, with final approval expected later this year.

While Google has denied the allegations, a company spokesperson stated that the tech firm has "reached a resolution" and remains committed to fair pay, hiring, and promotion practices.

Wider Implications for Corporate Diversity Policies

The lawsuit and settlement come at a time when corporate diversity, equity, and inclusion (DEI) policies are facing increasing scrutiny. In recent months, Google, Meta, Amazon, and other major firms have scaled back their DEI programs. Meanwhile, former U.S. President Donald Trump has called for the elimination of DEI initiatives in government agencies and contractors.

The case highlights the ongoing debate over workplace equity and corporate responsibility, as companies navigate evolving policies and legal challenges related to fair pay and inclusion.