Google settles racial discrimination: will pay $50 million

After four years, Google settles charges of racial discrimination. The Alphabet giant that controls the search engine will pay $50 million to 4,000 black employees.

The company settled a settlement to end a lawsuit that began in 2022, when employees had complained of systemic racial disparities in hiring, pay, and career advancement. The lawsuit stemmed from a former employee, April Curley, who accused the company of engaging in a 'systematic practice' of unfair treatment of its black employees.

The lawsuit gained class action status when other former Google employees also joined Curley, accusing Google of having a "racially discriminatory corporate culture" that allegedly led management to steer black new hires into "inferior" positions, as well as lower salaries, non-objective performance evaluations, and blocked opportunities for advancement. According to the complaint, black employees working for Google are only 4.4 per cent of the workforce and just 3 per cent of managers.

In essence, the United States District Court for Northern California granted final approval, ending years of litigation brought by April Curley, Ronika Lewis, Rayna Reid, and Desiree Mayon, with Curley, Lewis, and Mayon representing the settlement's class of beneficiaries. The court found the settlement, which was announced in May 2025, to be fair, reasonable and adequate. The settlement, which is a dispute resolution and not an admission of liability, establishes a $50 million fund and includes non-monetary provisions. These include ongoing equal pay reviews, enhanced reporting procedures, wage transparency measures and limitations on mandatory arbitration for labour disputes until at least August 2026. "This case is about accountability, pure and simple," Crump said. "For too long, employees of colour in the tech sector have faced obstacles that limit their opportunities. This settlement is a significant step in holding one of the world's most powerful companies accountable and making clear that discriminatory practices cannot and will not be tolerated." Ap reports that Google stated at the time the agreement was reached that it completely disagreed with allegations that it had treated anyone unfairly and remained 'committed to paying, hiring and grading all employees fairly'.