CALIFORNIA – Snap, the parent company of Snapchat, has agreed to pay $15 million to settle claims filed by a California civil rights agency. These accusations include paying women less than men, subjecting female employees to sexual harassment, and retaliating against those who complained.
The California Department of Civil Rights announced the settlement in a statement on Wednesday, clarifying that it is subject to court approval. This resolution stems from an investigation that began over three years ago.
Santa Monica-based Snap expressed its commitment to maintaining a fair and inclusive environment and denied engaging in systematic discrimination against women. In a statement, the company said, “While we disagreed with the claims and analysis of the California Department of Civil Rights, we considered the cost and impact of prolonged litigation… and decided that it is in the best interest of the company to resolve these claims and focus on the future.”
The state agency has negotiated several major settlements in sexual discrimination cases in recent years. These include a $100 million settlement with video game maker Riot Games in 2021 and a $54 million settlement with Activision Blizzard last year. Both companies denied any wrongdoing.
The Department of Civil Rights statement noted that Snap experienced a period of rapid growth between 2015 and 2022 but failed to implement measures to ensure women were paid and promoted fairly. “Instead, women encountered a glass ceiling and were told to wait their turn, actively discouraged from applying for promotions, or lost promotion opportunities to less qualified male colleagues,” the agency indicated.
In addition to pay and promotion inequality, the department alleged that female employees were subjected to unwanted sexual advances and other harassing behaviors. Women who complained faced professional setbacks or were terminated, according to the agency.
Snap’s effort to resolve these claims demonstrates a focus on improvement and inclusion in the workplace. Although the company denies the allegations, the $15 million settlement underscores the importance of addressing and rectifying any form of discrimination and harassment within organizations.
