Silicon Valley tried to settle away a $9 billion wage-fixing lawsuit, which alleges that companies including Apple and Google colluded to suppress employee wages. But a federal judge nixed the paltry $324.5 million pay out, saying it was not enough. Now the companies behind the conspiracy are appealing, insisting the lowball figure is adequate.
Last month, U.S. District Judge Lucy H. Koh refused to approve the settlement between tech workers and their employers. In her ruling, Judge Koh said that the tech titans owed their collective employees, which the firms had mutually agreed not to poach from one another, "at least $55 million more" than the original $325 million settlement, according to Law360. That number came from comparing the Silicon Valley payout to an antitrust settlement with Pixar and Lucasfilm, which paid out their employees proportionally more.
The revised $380 million settlement would still be a great deal for Silicon Valley's wealthiest firms, which saved countless millions suppressing wages by 10 to 15 percent below market rate. But instead of paying the additional amount to their screwed employees, they'd rather fight to protect their bottom line.