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Wednesday, May 4, 2011

Quick Hit: Apple, Google And Other Big Tech Companies Being Sued For Not Paying Up




A press release was umm released yesterday by the law firm LIef, Cabrasser, Heimann & Bernstein (there’s always got to be a Bernstein eh?), that basically says Apple, Google, Lucasfilm and a bunch more big tech companies weren’t paying their employees properly and worked together to keep employee wages low across all the suspected companies.

The whole shebang was file by Siddarth Hariharan, a former software engineer for Lucasfilm. He says; 

"My colleagues at Lucasfilm and I applied our skills, knowledge, and creativity to make the company an industry leader. It's disappointing that, while we were working hard to make terrific products that resulted in enormous profits for Lucasfilm, senior executives of the company cut deals with other premiere high tech companies to eliminate competition and cap pay for skilled employees."

So apparently the companies had a ‘gentlemen's agreement’ that they would not ‘poach’ each others employees, they did however say employees were free to apply at any company they wanted. What this effectively did was make sure that if a high value employee who was working ant say, Pixar, wanted to go and work at Lucasfilm the heads of Lucasfilm would deny his application because it could be seen as ‘poaching’ or they might give him the interview to save face, but he would have no chance at getting the job.

There’s tons more to the case, and it will probably be a long long drawn out battle.

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