Snap Inc., the company behind the popular social media platform Snapchat, has agreed to pay $15 million as settlement to the California Civil Rights Department (CRD) over allegations of discrimination, harassment, and retaliation against women in the company. This settlement agreement, which is yet to receive court approval, requires Snap Inc. to take steps that will ensure the implementation of fair employment practices. Additionally, women who were employed by the company in California between 2014 and 2024 will receive monetary relief.
Kevin Kish, the Director of CRD, expressed pride in the innovative work of California’s state and its contribution to the US economy. He also highlighted the robustness of the state’s civil rights laws that safeguard every worker against discrimination and provide equal opportunities. The settlement with Snapchat signifies the joint dedication to creating a California where all workers have an equal shot at achieving the American Dream. Kish emphasized the right of women to equality and fairness in every job, workplace, and industry.
Snap Inc. has announced a settlement to resolve a more than three-year investigation into the company over allegations of employment discrimination, sexual harassment and retaliation, and equal pay violations. The company, which is based in Santa Monica, California, experienced rapid growth from 250 employees in 2015 to over 5,000 in 2022.
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However, according to CRD, Snap Inc. did not implement measures to ensure that women were paid or promoted equally, resulting in a glass ceiling for female employees. Women were discouraged from applying for promotions, told to wait their turn, or lost promotion opportunities to less qualified male colleagues. Additionally, CRD alleged that women experienced unwelcome sexual advances and other forms of harassment. When women spoke up about these issues, they faced retaliation, including the denial of professional opportunities, negative performance reviews, and termination.
Snap Inc. has a strong commitment to promoting and strengthening inclusivity in its hiring and retention policies. As part of this ongoing effort, the company has announced a new settlement that, if approved by the court, will require Snap to take certain actions. These actions include:
Workers will receive direct relief and compensation worth $14.5 million, while the remaining $500,000 will be used to cover litigation costs. The company has agreed to pay a total of $15 million towards this settlement.
Snap Inc. should retain an independent consultant to evaluate and provide recommendations on the company’s compensation and promotion policies as well as training materials.
Make sure that any upcoming contracts signed with staffing agencies include provisions for complying with state laws regarding protection against discrimination and harassment in the workplace.
The company should acknowledge its responsibility to refrain from discriminating against or harassing its employees based on their sex. It must also ensure compliance with all state and federal laws against discrimination.
Snap Inc. should consider entering into a contract with a third-party monitor to conduct an audit of the company’s compliance with regard to sexual harassment, retaliation, and discrimination. The third-party monitor should then make appropriate recommendations based on the findings of the audit.
Make sure that all employees undergo training on workplace discrimination prevention, retaliation prevention, and sexual harassment prevention.
All employees must be informed of their right to file a complaint against any form of harassment or discrimination without facing any retaliation.
If you are a female employee who has worked for Snap Inc. in California from 2014 to 2024, you may be entitled to compensation. No further action is required at the moment, and additional details will be available on CRD’s website once the court approves the settlement. If the settlement is approved, a settlement administrator will provide further information and updates to eligible employees.
If you or anyone you know has experienced employment discrimination or harassment, you have the option of seeking assistance from CRD through their complaint process. You can find general information about this process and instructions on how to file a complaint on their website. For more details on protections against workplace discrimination and harassment, refer to the resources available on their website.
CRD’s Legal Division played a significant role in supporting the settlement announced today. The settlement received immense backing from various attorneys, including Rumduol Vuong, Alexis McKenna, Mackenzie Anderson, Irene Meyers, Jenny Chhea, Azadeh Hosseinian, Gwendolyn Leachman, and Eliana Mata.
