Snapchat Inc. has agreed to pay $15 million to settle a lawsuit filed by California’s civil rights agency, alleging discrimination against female employees, failure to prevent workplace sexual harassment, and retaliation against women who complained. The settlement covers women who worked for the company in California between 2014 and 2024, pending court approval.
The California Civil Rights Department announced the resolution of the more than three-year investigation, which focused on claims of pay and promotion discrimination against female employees at the Santa Monica-based company. The majority of the settlement funds will be allocated to affected employees.
California's civil rights agency emphasized the importance of workplace equality, stating that women deserve fair treatment in all industries. Snapchat Inc. expressed disagreement with the claims but opted to settle to avoid prolonged legal proceedings, affirming its commitment to maintaining a fair and inclusive environment.
Despite significant company growth, female employees at Snapchat faced obstacles in career advancement, with women in engineering roles encountering barriers to progress from entry-level positions. The lawsuit also highlighted instances of sexual harassment and retaliation against women who reported misconduct.
As part of the settlement, Snapchat Inc. will engage an independent consultant to review its compensation and promotion policies, as well as appoint an external auditor to assess compliance with sexual harassment, retaliation, and discrimination regulations. The company will conduct training sessions for staff on preventing workplace discrimination and harassment, and ensure all employees are informed of their rights to report misconduct without fear of reprisal.