The California Department of Civil Rights has reached a $14.4 million settlement with Microsoft (NASDAQ:MSFT) to resolve allegations of discrimination in compensation related to the use of leave protected under state and federal civil rights laws, the agency said Wednesday.
In a complaint filed By the agency against Microsoft (Microsoft), the department alleged that women and people with disabilities are overrepresented among the group of workers who use these forms of leave and that workers who used protected leave “faced unlawful retaliation and discrimination in compensation and promotion opportunities because of their use of leave.”
Additionally, “employees who used protected leave received lower bonuses and unfavorable performance reviews, which in turn hurt their eligibility for merit increases, stock awards, and promotions.”
As part From the proposed settlementMicrosoft (MSFT) has pledged to take a series of proactive steps to prevent future discrimination and provide financial relief to employees who used the company’s protected leave in California between 2017 and 2024.
“The settlement announced today will provide direct relief to affected workers and protect them from future discrimination at the company,” said CRD Director Kevin Kish. “We applaud Microsoft for coming to the negotiating table and agreeing to make the changes necessary to protect California workers.”
The settlement, which must be approved by a state judge, would resolve a years-long investigation by the Civil Rights Division.