SpaceX is facing a class action lawsuit that accuses the company of engaging in discriminatory pay practices, favoring white and male employees over women and minorities. The lawsuit, filed in Los Angeles Superior Court by SpaceX engineer Ashley Foltz, alleges that she was offered a lower salary compared to her male counterparts with similar or less experience.
Key Takeaway
SpaceX is under fire for allegedly discriminatory pay schemes, with a class action lawsuit claiming that the company pays women and minorities less than white and male employees. Accusations of using job titles to justify lower pay and disparities in promotion rates have been made. This follows a previous lawsuit by the U.S. Department of Justice, alleging discrimination against asylum recipients and refugees during the hiring process.
The Allegations
According to Foltz, she was hired as a propulsion engineer at a salary of $92,000, while men in similar positions were offered salaries as high as $115,000. When a new California law required employers to include pay scales in job postings, Foltz discovered the salary discrepancies. In response to the law, SpaceX increased her salary but only to the lowest end of the pay band, despite the range for her job being $95,000 to $115,000.
The lawsuit goes on to claim that job titles, such as “technical writer” versus “engineer 1,” are used as a way to justify paying women and minorities less. It suggests that these groups are assigned lower-paying titles, even if their roles are essentially the same as those held by white and male counterparts. Moreover, the lawsuit alleges disparities in promotion rates between women, minorities, and their white, male peers.
Previous Allegations
This is not the first time SpaceX has faced accusations of discriminatory practices. In August, the U.S. Department of Justice filed a lawsuit against the company, claiming that it discriminated against asylum recipients and refugees during the hiring process under the guise of adhering to export control laws.
