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SpaceX accused of paying less to women and minority engineers

(2023/10/09)


SpaceX is facing another employment lawsuit, this time by a female former worker who claims the company pays women and minority employees less than their white male counterparts, in violation of California's Equal Pay Act.

The case ( [1]23STCV24097 – PDF), filed in the Superior Court of California in Los Angeles, was brought by former SpaceX engineer Ashley Foltz on behalf of herself and a group of other employees. It alleges the company routinely pays female and/or minority workers less than those that are male and white.

Specifically, Foltz claims she was hired as a Propulsion Engineer on a team of all male engineers for a salary of $92,000, while her colleagues with similar or less experience were paid up to $115,000.

[2]

The court filing says this came to light when a California law came into force requiring salary ranges to be listed on all advertised job openings, and this revealed the band for Foltz's role was $95,000 to $115,000, meaning she was being paid less than the starting salary.

[3]

[4]

In response, SpaceX was forced to increase her salary, but the lawsuit claims the company then only raised her pay to $95,000, the minimum threshold of her pay band. The complaint alleges that it was common practice for employees like Foltz to be retained at the lowest pay band, regardless of their level of experience prior to joining the company.

The filing also claims that SpaceX used its organizational structure to create the illusion of an equal pay scheme. It further alleges that female and minority employees are started as "technical writers" before they are offered positions as engineers, while other employees are hired directly as engineers at higher compensation levels.

[5]

This is despite those workers performing substantially the same work or having similar qualifications to their higher paid colleagues, the lawsuit claims. Effectively, it alleges that female and minority employees of SpaceX are working as engineers under the title of technical writer in order to justify paying them less.

"Forcing female and minority employees to start as technical writers when white and male employees are not — and then using that as a means to justify lower pay — is discriminatory," the complaint says.

In the court filing, Foltz also claims that female and minority SpaceX employees are further disadvantaged by being less likely to be promoted to a more senior engineer grade than their colleagues.

[6]

California's [7]Equal Pay Act requires companies to provide equal pay to employees who perform "substantially similar work," meaning that it is comparable in skill, effort, responsibility, and performed under similar working conditions.

There are a number of justifications for pay differences, which include seniority, merit, productivity, or a "bona fide" factor other than sex, race, or ethnicity. However, employers must show that these factors can reasonably account for the difference in wages.

[8]Elon Musk's ambitions for Starship soar high while reality waits on launchpad

[9]Elon Musk has beef with Bill Gates because he shorted Tesla stock, says biographer

[10]Musk's mighty missile is ready for launch once FAA says OK

[11]SpaceX, T-Mobile US phone service will interfere with ours, claims rival

SpaceX was not immediately available to comment, but we will update this article with a response from the company if we receive one.

The Musk-owned space launch biz was also served with a lawsuit [12]in August over discriminatory hiring practices. In that case it was accused of discriminating against asylum seekers and refugees, discouraging such individuals from applying for jobs at the company.

SpaceX's [13]latest launch was today, October 9 at 12:23am Pacific Time, when a Falcon 9 delivered 21 satellites for the Starlink satellite broadband service into low-Earth orbit from Vandenberg Space Force Base in California. ®

Get our [14]Tech Resources



[1] https://regmedia.co.uk/2023/10/09/foltz_v_spacex_complaint.pdf

[2] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_offbeat/legal&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2ZSQjo8HTzXVSD71BBCtr8QAAAFI&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0

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[6] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_offbeat/legal&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33ZSQjo8HTzXVSD71BBCtr8QAAAFI&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0

[7] https://www.dir.ca.gov/dlse/california_equal_pay_act.htm

[8] https://www.theregister.com/2023/10/06/musk_starship_interview/

[9] https://www.theregister.com/2023/09/11/gates_musk_beef_biography/

[10] https://www.theregister.com/2023/09/07/musks_mighty_missile_is_ready/

[11] https://www.theregister.com/2023/08/23/spacex_counter_omnispace/

[12] https://www.theregister.com/2023/08/25/spacex_discrimination_lawsuit/

[13] https://www.spacex.com/launches/mission/?missionId=sl-7-4

[14] https://whitepapers.theregister.com/



And in a compnay run by Elon Musk as well

deadlockvictim

It's so out of character.

I just don't get this....

xyz

What sort of mentality still exists where some workers are differenciated against by sex and colour? It's completely stupid IMHO. Maybe I'm just being dumb or something but I just don't understand it. What makes work exciting is having different viewpoints, ways of seeing things and ideas around. Does my head in, this closed shop crap.

Re: I just don't get this....

Ian Johnston

What sort of mentality still exists where some workers are differenciated against by sex and colour?

It's endemic, and normally down to unconscious bias.

The BBC recently had seven articles about GCSE/A-level successes. Every one had a picture of white or asian girls celebrating. They had [1]one story about GCSE/A-level failures (and the need for resits) which was illustrated with a picture of two black boys,

[1] https://www.bbc.co.uk/news/education-66476072

Re: I just don't get this....

AVR

In this case the discrimination saves the company money (at least in the short term). The claim isn't that women or minorities aren't hired, just that they aren't paid as much.

excperr

One of the usual suspects

Prst. V.Jeltz

The court filing says this came to light when a California law came into force requiring salary ranges to be listed on all advertised job openings, and this revealed the band for Foltz's role was $95,000 to $115,000, meaning she was being paid less than the starting salary.

It doesent reveal how many other people , male and female , may have been in the same boat though.

Hopefully the court demanded contracts and wages from all staff in that dept / role to compare .

also $95,000 = 77,793.60 Pound sterling

Nice work if you can get it!

Stu J

"Nice work if you can get it!"

I mean, it's literally rocket science. Also the median house price in that area's $750,000 so they have to pay a reasonable amount so people can afford to live within an hour or two's commute.

Korev

also $95,000 = 77,793.60 Pound sterling

Nice work if you can get it!

Most people in Britain don't realise how low the salaries for most jobs have got...

blackcat

Most people in the UK don't realise how insanely overpriced parts of the US are.

Housing, basic services like mobile and broadband, food, insurance...

Pay in startups

Electronics'R'Us

Some 22 years ago I was in a startup near Philly (with all the attendant issues - long hours and the like but unusually we got 3 weeks of annual holiday and other benefits not normally associated with the US employment scene).

I was making over $120k then so it really is not an unusually large amount for an engineer.

Comparisions

Random person

The cost of living in Hawthrone California is 49% higher than the national average in the USA.

Hawthrone is part of Los Angeles. It is 4% more expensive to live Los Angeles than London. How does your salary compare with a London salary.

Interestingly the average software engineer salary in Hawthrone is $138,489 (£113,418.34). It seems that being a rocket scientist doesn't pay that well.

https://www.payscale.com/cost-of-living-calculator/California-Hawthorne

https://livingcost.org/cost/london/los-angeles

https://www.indeed.com/career/software-engineer/salaries/Hawthorne--CA

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