On Thursday, Apple was the target of a proposed class action claiming that the tech company paid over 12,000 female workers in California less than males with similar jobs.
Class Action Filed by Female Employees
Apple has been hit with a proposed class action lawsuit accusing the company of systematically paying over 12,000 female employees in California less than their male counterparts in similar roles.
The lawsuit was filed in state court in San Francisco by two women who have been with Apple for more than a decade. The complaint highlights pay disparities within the engineering, marketing, and AppleCare divisions.
Allegations of Biased Pay Practices
The lawsuit claims that Apple’s practices of basing workers’ starting salaries on their previous jobs or “pay expectations” result in lower pay rates for women.
Additionally, it alleges that Apple’s performance evaluation system, which influences raises and bonuses, is biased against female employees.
Apple’s Commitment to Pay Equity
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In response to the lawsuit, Apple reiterated its commitment to inclusion and pay equity.
The company stated, “Since 2017, Apple has achieved and maintained gender pay equity and every year we partner with an independent third-party expert to examine each team member’s total compensation and make adjustments, where necessary, to ensure that we maintain pay equity.”
Legal Representation and Historical Context
The plaintiffs are represented by class action law firms Outten & Golden, Cohen Milstein Sellers & Toll, and Altshuler Berzon, which have previously secured significant settlements in other sex bias cases, such as a $215 million deal with Goldman Sachs last year and a $175 million settlement with Sterling Jewelers in 2022. Both companies denied wrongdoing in those cases.
California’s Legislative Background
California has prohibited employers from asking job applicants about their salary history since 2018 to eliminate pay gaps based on sex and race.
According to the lawsuit, Apple bypasses this by relying on applicants’ pay expectations, which often reflect their previous earnings, thereby perpetuating wage disparities.
Disproportionate Talent Designation
The lawsuit also alleges that Apple rewards employees it deems to have “talent” with higher pay, but disproportionately grants this designation to men, further widening the pay gap.
Lawyer’s Statement
Eve Cervantez, a lawyer for the plaintiffs, criticized Apple’s practices, stating, “This is a no-win situation for female employees at Apple,” suggesting that the company’s methods only serve to perpetuate and expand existing gender pay gaps.
The case adds to the ongoing scrutiny and legal challenges tech companies face regarding gender pay equity and employment practices.
Tony Boyce is a seasoned journalist and editor at Sharks Magazine, where his expertise in business and startups journalism shines through his compelling storytelling and in-depth analysis. With 12 years of experience navigating the intricate world of entrepreneurship and business news, Tony has become a trusted voice for readers seeking insights into the latest trends, strategies, and success stories.