Snapchat will pay an estimated $15 million to settle a California lawsuit claiming that the company discriminated against its female employees, enabled workplace sexual harassment, and retaliated against anyone who complained.According to The Associated Press, the proposed settlement will offer compensation to women who worked for the company’s California-based offices between 2014 and 2024. The terms of the agreement remain subject to court approval.The California Civil Rights Department, which represented the plaintiff women, said that the lawsuit—and subsequent settlement negotiations—were the result of a years-long investigation into claims of discrimination.“In California, we’re proud of the work of our state’s innovators, who are a driving force of our nation’s economy,” said Kevin Kish, the director of the California Civil Rights Department. “This settlement with Snapchat demonstrates a shared commitment to a California where all workers have a fair chance at the American dream.”“Women are entitled to equality in every job, in every workplace, and in every industry,” Kish said.

A gavel. Image via Wikimedia Commons via Flickr/user: Brian Turner. (CCA-BY-2.0).

The lawsuit, notes The Associated Press, alleged that Snapchat’s massive growth—expanding from 250 employees in 2015 to more than 5,0000 in 2022—did not translate to advancement or equal opportunity for women. Instead, and in many cases, female employees were often “told to wait their turn, were actively discouraged from applying for promotions, or lost promotion opportunities to less-qualified male colleagues.”The Civil Rights Department further claimed that some women were forced to endure sexual harassment, and were retaliated against if and when they tried to complain.“Women were told, both implicitly and explicitly, that they were second-class citizens at Snap,” the lawsuit said.Snapchat, for its part, said that it disagrees with the agency’s claims—but agreed to settle the lawsuit to avoid the costs of protracted litigation.“We care deeply about our commitment to maintain a fair and inclusive environment at Snap, and do not believe we have any ongoing systemic pay equity, discrimination, harassment, or retaliation against women,” the company said in a statement, adding that its decision to settle “took into consideration the cost and impact of lengthy litigation,” eventually determining that “it is in the best interest of the company to resolve these claims and focus on the future.”The terms of the settlement will allow Snapchat to retain an independent consultant, who will be charged with evaluating the company’s internal policies and providing recommendations about equitable compensation and promotion opportunities.Snapchat will also be required to hire a third-party monitor to audit its sexual harassment, retaliation, and discrimination compliance procedures.

Sources

Snap agrees to pay $15 million to settle gender discrimination lawsuitSnapchat Inc. to pay $15 million to settle discrimination and harassment lawsuit in CaliforniaSnapchat to pay $15M to settle discrimination, harassment lawsuit in California