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August 09, 2004

Google sued for age discrimination

Google describes itself as a good employer that pampers its employees with free meals and generous stock options that could soon be worth millions of dollars.

But a lawsuit filed earlier this week by a recently fired Google manager contends the company has cultivated a culture that discriminates against older workers and fosters serious morale problems.

The civil complaint, filed Tuesday in Santa Clara Superior Court, alleges Mountain View-based Google fired Brian Reid, 54, as its director of operations in February 2004 because he didn't fit in a culture emphasizing ''youth and energy.''

Google denied the allegations. ''We believe Mr. Reid's complaint is without merit and will defend against it vigorously,'' spokesman Steve Langdon said. He declined to discuss why Reid lost his job.

Wrongful termination suits alleging age discrimination are common in corporate America, but Reid's complaint could prove awkward for Google, an unorthodox company that has depicted itself as a progressive employer since its founding nearly six years ago.

Google co-founders Larry Page, 31, and Sergey Brin, 30, emphasized their devotion to the company's workers in a letter attached to the company's plans to launch an initial public offering of stock later this year.

''Our employees, who have named themselves Googlers, are everything,'' the letter said. ''... We will reward them and treat them well.''

Reid said company executives initially gave him no reason for his termination until Shona Brown, vice president of business operations, told him he was incompatible with Google's youthful atmosphere.

After he left, Reid said, he learned he was replaced by someone around age 30. The firing cost Reid his annual salary of $200,000 and 119,000 Google stock options with an exercise price of 30 cents per share.

Based on estimates of Google's market value, Reid's stock options probably would have been worth about $10 million after the company's IPO. The suit seeks to recover lost compensation and punitive damages.

Source: Monterey Herald

Posted by nakul at August 9, 2004 08:15 AM | TrackBack
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