Mastercard gender and race bias settlement

Mastercard has agreed to pay $26 million to settle a class action lawsuit accusing the company of systemic underpayment of female, Black, and Hispanic employees. The settlement, disclosed in court documents filed in New York, addresses claims that the payment giant engaged in discriminatory pay practices affecting approximately 7,500 employees across the U.S. since 2016.

Allegations:

The lawsuit alleged that Mastercard routinely:

• Assigned employees from minority groups and women to positions below their appropriate pay grade.
• Paid these employees less than their white counterparts performing similar roles.

Settlement Terms:

As part of the settlement:

• Mastercard will pay $26 million to affected employees.
• The company has agreed to conduct annual pay equity audits for the next three years.
• Mastercard will hire a psychologist to assess and address potential workplace bias.

Company Response:

Despite agreeing to the settlement, Mastercard denied the allegations. A company spokesperson stated, “It is in the best interest of all involved to bring this matter to a close.”