Welcome to Human Capital, your weekly source for the latest developments in diversity, inclusion, and labor practices within the technology sector.

This week brought multiple workplace concerns for Google to the forefront, while Coinbase again faced scrutiny following reports in The New York Times concerning allegations of racism and discrimination. Conversely, Nasdaq submitted proposals to the SEC regarding diversity standards for publicly traded companies. 

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Allegations of Racial Discrimination at Coinbase 

The week began with reports regarding diversity challenges at cryptocurrency firm Coinbase. The NYT published an account detailing numerous internal complaints asserting discriminatory practices against Black employees. A significant excerpt from the report reads:

“The 15 individuals were employed at Coinbase, the most highly valued U.S. cryptocurrency startup, constituting approximately three-quarters of the company’s 600-person workforce who identified as Black. Prior to their departures in late 2018 and early 2019, at least 11 of these individuals communicated concerns to either the human resources department or their supervisors regarding experiences of racist or discriminatory treatment, according to five sources with knowledge of the situation.”

Prior to the article’s release, Coinbase alerted its employees to the impending story, stating that “only three of these individuals submitted formal complaints during their tenure at Coinbase,” and that no evidence of misconduct was found.

Shareholder Lawsuit Accuses Pinterest of Enabling Discrimination Based on Race and Gender

In a communication to Fast Company, Pinterest stated: 

“Pinterest’s leadership and Board are dedicated to fulfilling their fiduciary responsibilities and remain committed to ongoing efforts to cultivate an environment where all employees feel valued and supported,” a Pinterest representative commented. “We are confident that the measures we have implemented, along with the independent review of our culture, policies, and practices, will contribute to our objective of establishing a diverse, equitable, and inclusive environment for everyone.”

NLRB Claims Google Illegally Monitored Employees and Violated Labor Regulations

The National Labor Relations Board this week presented a complaint against Google following an investigation into the termination of several employees last November. The complaint asserts that Google infringed upon sections of the National Labor Relations Act by monitoring employee activity and generally obstructing, hindering, and coercing employees in the exercise of rights protected by Section 7 of the National Labor Relations Act.

The NLRB also alleges that Google discouraged “its employees from forming, joining, assisting a union or participating in other protected, concerted activities,” as detailed in the complaint.

“Google has consistently prioritized fostering a culture of open internal dialogue and places significant trust in its employees,” a Google spokesperson conveyed to TechCrunch. “Naturally, we take information security very seriously, and employees possess protected labor rights that we fully support. We are confident in our decisions and legal standing. The actions taken by the employees in question represented a serious breach of our policies and a violation of entrusted responsibilities.”

Google’s Co-Lead of Ethical AI Team Reports Being Dismissed After Sending an Email

The email in question, as reported by Casey Newton, expressed Gebru’s disappointment regarding her organization’s limited progress in hiring women, noting a rate of approximately 14% for the year. She highlighted that Samy Bengio, who leads a research group within Google Brain, achieved a 39% female hiring rate but lacked incentives to prioritize such efforts. She further wrote:

“My suggestion is to cease drafting your documents, as they yield no tangible results. The DEI OKRs, whose origins remain unclear (and are consistently unmet), the sporadic discussions, the emphasis on ‘more mentorship’ rather than addressing the toxic environments that impede our advancement, the constant struggle and education at our expense – none of it matters. Because there is no accountability. There is no incentive to hire 39% women: advocating for underrepresented groups can negatively impact your performance evaluations. More documents or conversations will not achieve anything. We recently held a Black research all-hands meeting filled with emotional frustration. What followed? Silencing in its most fundamental form.”

Gebru’s email also addressed concerns about the suppression of marginalized voices, the dismissal of her expertise, and experiences of gaslighting within Google.

Instacart Details Healthcare Subsidies for California Workers

In accordance with Prop 22, gig workers were promised healthcare subsidies. This week, Instacart provided further specifics regarding the implementation of this commitment. In summary, the subsidies will be distributed on a quarterly basis to shoppers who consistently work an average of 15 hours or more per week. 

Shoppers averaging between 15 and 25 hours weekly will qualify for 50% of the average contribution amount. Those averaging 25 hours or more will be eligible for 100% of the average contribution. 

However, individuals with employer-sponsored healthcare, Medicare, or Medicaid are ineligible for these subsidies.

Nasdaq Proposes Mandatory Board Diversity Requirements

Nasdaq submitted a proposal to the U.S. Securities and Exchange Commission to enact new regulations concerning diversity. If approved, the SEC would mandate that companies listed on the Nasdaq publicly disclose the diversity composition of their boards of directors. The rule would also require many companies to include at least two diverse directors – one who identifies as female and one who identifies as a member of an underrepresented minority group or as LGBTQ+. Companies failing to meet these requirements would be required to provide an explanation.