California Civil Rights Department Accuses Company of Widespread Issues
Snapchat Inc. has agreed to pay $15 million to settle a lawsuit filed by the California Civil Rights Department (CRD). The lawsuit alleged that the company discriminated against female employees, fostered a culture of sexual harassment, and retaliated against those who complained.
Settlement Covers Decade of Alleged Misconduct
The settlement announced on Wednesday covers female employees who worked for Snapchat in California between 2014 and 2024. It requires court approval before finalization.
CRD Claims Unequal Pay and Promotion Opportunities
According to the CRD, their investigation uncovered systemic issues at Snapchat. Female employees allegedly faced unequal pay and limited promotion opportunities compared to male colleagues.
“Women are entitled to equality in every job, in every workplace, and in every industry,” said Kevin Kish, director of the CRD. “This settlement with Snapchat demonstrates a shared commitment to a California where all workers have a fair chance at the American Dream.”
Sexual Harassment and Retaliation Claims
The CRD further alleged that female employees faced sexual harassment and retaliation if they complained. This included negative performance reviews and even termination.
Settlement Requires Policy Review and Training
As part of the settlement, Snapchat will be required to:
Hire an independent consultant to review compensation and promotion policies to ensure fairness. Engage an external auditor to assess compliance with anti-discrimination, anti-retaliation, and anti-harassment policies. Implement mandatory training for all employees on preventing discrimination, retaliation, and sexual harassment in the workplace. Lastly, Provide clear information to employees regarding their right to report misconduct without fear of retaliation.
