On February 26, 2024, at the 2024 Mobile World Congress in Barcelona, a logo on the Microsoft booth was lit up.
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Microsoft Paid $14.4 million to settle a California case that accused the company of retaliating against legally protected furloughed employees.
The California Department of Civil Rights announced proposed settlement Wednesday. Subject to approval by a state judge, nearly all of the money will go to California workers who took parental leave, family care leave or disability leave from 2017 to the present and decide to participate in the settlement.
“Because Microsoft employees who use or will use protected leave are disproportionately women and people with disabilities, Microsoft’s challenged policies and practices also have discriminatory adverse effects based on sex and disability that Microsoft cannot base on its business,” the agency said. Need to justify this.
According to the complaint, Microsoft did not do enough to prevent managers from considering protected leave when assessing an employee’s “impact,” which is a factor in calculating annual bonuses, promotions, stock awards and merit-based pay increases.
Redmond, Wash.-based Microsoft has about 6,700 employees in California, out of a total workforce of 221,000, according to the complaint.
Under Chief Executive Satya Nadella, Microsoft has sought to diversify its top ranks while also becoming more aggressive in addressing issues related to harassment and harassment. discriminate.
The proportion of women at partner, executive, director and manager levels has increased over the years. According to the company’s latest report, women will account for 31.2% of Microsoft’s core employees by 2023, up from 27.6% in 2019. Diversity Report.
In 2022, Microsoft said it would revise its sexual harassment and gender discrimination rules following a shareholder vote after reports from outside groups found problems with the company’s handling of complaints.
According to the California complaint, employees expressed concerns about retaliation after applying for protected leave. The proposed settlement says Microsoft disputes the agency’s claims.
“Microsoft is committed to creating an environment that allows employees to take time off when they need it and provides the necessary flexibility and support for their professional and personal growth,” a company spokesperson told CNBC in an email. “While we believe the The agency’s allegations are inaccurate, but we will continue to listen, learn and support our employees.”
As part of the settlement, Microsoft will provide training to direct and second-level managers of California employees, as well as human resources employees who handle bonuses and merit-based pay increases. Managers will also be instructed not to consider protected leave when making “impact” decisions. APTMetrics consultants will be responsible for monitoring compliance.
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