Uber’s $4.4M fund to settle probe
Federal panel finds harassment in workplace.
Uber has agreed to establish a $4.4 million fund to settle a federal investigation into charges it fostered a work culture where sexual harassment and retaliation went unchecked.
The ride-hailing company permitted “a culture of sexual harassment and retaliation against individuals who complained about such harassment,” the Equal Employment Opportunity Commission found.
The settlement fund will compensate female employees who are determined to have experienced harassment or retaliation.
With the rise of the #MeToo movement, the EEOC has focused on harassment and retaliation cases.
“This agreement holds Uber accountable, and, going forward, positions the company to innovate and transform the tech industry by modeling effective measures against sexual harassment and retaliation,” EEOC Commissioner Victoria Lipnic said in a statement.
Uber’s work culture came under sharp scrutiny in 2017 when a former female engineer Susan Fowler published a public essay leveling charges of pervasive sexism.
After the allegations surfaced, federal authorities began investigations and lawsuits were filed.
An internal probe led by former U.S. Attorney General Eric Holder’s law firm resulted in the firing of more than 20 employees and raised questions about the leadership of Travis Kalanick, a co-founder who stepped down as CEO.
During an internal probe of Uber’s work culture, its chief human resources officer told USA TODAY the ride-hailing company’s treatment of women is no worse at Uber than at other companies.
“Wherever I have worked, I have seen things that are not great for women,” Liane Hornsey said. “I don’t think it’s about tech, or this city or this company. I think it’s about the world of work, and I think that it’s something that we have to take really super seriously.”
Under the leadership of Dara Khosrowshahi, who joined as CEO in September 2017, Uber says it has made major strides in changing the business practices and cultural norms of the San Francisco company.
“We’ve worked hard to ensure that all employees can thrive at Uber by putting fairness and accountability at the heart of who we are and what we do,” Uber’s chief legal officer Tony West said in a statement. I am extremely pleased that we were able to work jointly with the EEOC in continuing to strengthen these efforts.”
In addition to the EEOC settlement, Uber agreed to create a system that will identify employees who’ve been accused multiple times of harassment and managers who do not respond to harassment complaints in a timely manner. It also will conduct employee surveys of workplace conditions and exit interviews, with questions about harassment and retaliation.
A claims administrator will send notices to women who worked at Uber between Jan. 1, 2014, and June 30, 2019. The commission will determine which claimants may be eligible for money from the $4.4 million fund.
Uber said that more than 3,000 sexual assaults were reported during its U.S. rides in 2018. Drivers and riders were attacked in the reported assaults.