• In December, a group of Alphabet Inc's (NASDAQ: GOOG) (NASDAQ: GOOGL) Google managers found the company had been underpaying temporary workers for years, New York Times reports.
• Google decided to apply the correct rates for only new hires starting in 2021. However, it would still fuel suspicion in the minds of employees with upgraded paychecks.
• Google's lack of correction of the pay rates for all current temps led to a June whistle-blower complaint to the SEC for allegedly owing over $100 million in pay anomalies.
• Google had recently admitted increasing temp pay multiple times and that most temps received pay above the benchmark.
• There is no federal law requiring U.S. companies to pay temps and permanent employees equivalently for similar work.
• Google takes extra precautions in countries with equal pay laws. However, 16 additional countries, including Brazil, Canada, Australia, and Mexico, noted pay anomalies in 2020. Recently, Google has sought to cut down on temporary workers.
• In January 2020, Google realized that its out-of-date pay scales. A Google manager admitted that it classified the temporary roles in ways that artificially lowered its pay scale by comparing them to unrelated and lower-paying jobs.
• A manager admitted to being instructed to compare temp pay with the "lowest common denominator" or the junior-most role within a job category.
• Price Action: GOOG shares traded lower by 1.86% at $2,817.52 on Friday.