Google released an internal analysis on Monday that indicates its male employees received less pay than other employees for doing the same work more often than their female counterparts.
As a result of the findings, which were first reported by the New York Times, Google provided an additional $9.7 million to 10,677 employees, the majority of whom are men, to compensate them for unexplained discrepancies between their 2018 pay and that of co-workers who have the same responsibilities.
Google conducts a pay-equity analysis on an annual basis in order to “look for unexplained differences in total compensation (salary, bonus, and equity) across demographic groups,” according to a blog post published Monday on the company website. The analysis included 91 percent of the company’s total workforce, and excluded only those employees who work in a role with fewer than 30 other employees or employees representing fewer than five demographic groups.
The study did not take into account other factors that might result in a gender-pay disparity, such as discrimination that leads to fewer women receiving promotions, or a phenomenon known as “leveling,” in which women may receive a lower starting salary than equally qualified men.
“Our pay equity analysis ensures that compensation is fair for employees in the same job, at the same level, location and performance,” the blog post read. “But we know that’s only part of the story. Because leveling, performance ratings and promotion impact pay, this year, we are undertaking a comprehensive review of these processes to make sure the outcomes are fair and equitable for all employees.”
Google is currently facing a class-action lawsuit in California that alleges widespread discrimination against female employees. The company is also facing a class-action lawsuit initially filed in 2017 by James Damore, a software engineer who was fired for circulating a memo that argued the disparity in gender representation and pay within the company may reflect biological differences between men and women that affect inherent interest levels in various fields.
The Department of Labor opened an investigation into the company in April 2017 after finding “systemic compensation disparities against women pretty much across the entire workforce.”