Western Digital’s $7.75M settlement with female workers is OK’d

A federal judge signed off on a deal worth $7.75 million between 1,863 female employees and Western Digital Corp., which was accused of sex discrimination and pay inequality but denied the allegations.

The settlement agreement provides $2.38 million in attorney fees.

The class was represented by Sanford Heisler Sharp LLP, Medina Orthwein and Desai Law Firm PC. Younghui Chen v. Western Digital Corp., 8:19-CV-909 (C.D. Cal., filed May 14, 2019).

The company, represented by O'Melveny & Meyers LLP, denied in court papers that its practices were discriminatory. Western Digital contended employment decisions were made solely for legitimate, business-related reasons unrelated to sex. The different payment of wages by the company was based on seniority, merit, and other systems that measured earnings by quantity or quality of production, and not gender, the company argued.

The deal was approved Jan. 5 by U.S. Judge Josephine L. Staton of the Central District of California. Preliminary approval came after the class was certified. Each class member is slated to receive $3,615. The lead plaintiff and class representative will receive $18,000.

David Sanford, chairman of Sanford Heisler and co-lead counsel for the class, praised the settlement as "an extraordinary achievement and a testament to the courage and dedication of our client in stepping forward."

As part of the settlement, Western Digital agreed to cultivate equal employment opportunities. The company said it has already initiated several measures, and will undertake more to promote objectivity, transparency and equality in pay and promotions. The company also plans to hire and promote more women, and revamp its internal complaint procedures. The company said it will improve flexible work, maternity and parental leave benefits.

"The settlement also could not have been achieved without Western Digital's solutions-oriented approach. The company chose to focus its resources on compensating employees and promoting fairness and equality, rather than on fighting a long, expensive battle in court," said Danielle Fuschetti of Sanford Heisler, who also served as class counsel. "The result is a considerable monetary relief and a brighter outlook for women at Western Digital."