The California Civil Rights Department in filings in state court accused the tech giant of retaliating against its California-based employees who used parental, disability, pregnancy and family-care leave since 2017 by denying them raises, promotions and stock awards.
Those workers, who were disproportionately women and people with disabilities, received lower performance-review scores that in turn suppressed their pay and opportunities for promotions and altered their career trajectory, the department said.
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The settlement, which must be approved by a state judge, would resolve a multiyear investigation by the Civil Rights Department, the agency said.
Microsoft denied wrongdoing in the settlement agreement. In a statement, a company spokesperson said it disagreed with the agency's allegations.
«Microsoft is committed to an environment that empowers our employees to take leave when needed and provides the flexibility and support necessary for them to thrive professionally and personally,» the spokesperson said.
The state's Civil Rights Department has announced a series of large settlements in recent years, mainly in sex-discrimination cases. Those include a $100 million deal with videogame maker Riot Games in 2021, a $54 million