New details have emerged about how a $10 million settlement will be divided up among workers allegedly harmed by gender- and race-based discrimination and harassment at Uber, which reportedly remains under federal investigation over its pay and hiring practices.
The pending settlement would cap a legal battle that started in October 2017 after three Latina engineers at the San Francisco ride-hailing firm — Roxana del Toro Lopez, Ana Medina and Ingrid Avendao — sued the company in San Francisco, claiming they were paid less than their white or Asian male counterparts as a result of a discriminatory ranking system that “systematically undervalued” women and people of color.
Under the settlement, money will be divided among more than 500 people, according to a CNN report based on Northern California U.S. District Court filings.
“Uber has agreed to pay 56 current and former employees about $33,900 each, or $1.9 million, to settle their claims of gender discrimination, harassment and hostile work environment,” CNN reported Wednesday.
“In addition to the $1.9 million, another $5.1 million will be divided among more than 480 workers, including the 56 who are receiving the other payouts.”
During the court dispute, dozens of Uber employees came forward to describe how they were affected by discrimination and harassment at work, according to CNN.
“They are a subset of a broader class that includes about 480 women and underrepresented minorities who worked in certain software engineering jobs,” the news outlet reported.
“That broader pool of people will receive a payout of about $10,700 each, based on their length of employment, title and location.”
The stated amounts for workers do not make up the entire $10 million settlement, and it was unclear from reports where the rest of the money would go.
An Uber spokesperson told CNN that the company agreed with a motion by the plaintiffs that described the settlement amounts as “fair, reasonable, and adequate.”
Uber, which suffered a series of scandals under former CEO Travis Kalanick, has attempted to clean up its operations and image under new chief executive Dara Khosrowshahi. Last year, it said it had boosted compensation to make it equal between men and women and white and non-white workers, website The Information reported (paywall). That move came months after Uber released its first-ever diversity report.
Still, the firm has been beset with further black eyes. In July, Uber HR head Liane Hornsey resigned after allegations that she “had regularly dismissed internal complaints of racial discrimination,” this news organization reported.
And last month, CNN reported that Uber is under federal investigation into possible gender discrimination in hiring and pay. CNN cited a source said to be familiar with the probe.
Final approval of the discrimination and harassment settlement is scheduled for November 6, according to CNN.