Read Google CEO Sundar Pichai’s email after misconduct settlement

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Alphabet and Google CEO Sundar Pichai on Friday sent out a stern warning to all employees, pointing them to a new settlement between the company and shareholders who alleged it failed to respond appropriately to the allegations sexual misconduct and harassment.”I hope these commitments serve as a strong signal to all of you that we are not going back in time,” Pichai said in a brief note to employees, which CNBC consulted.

The settlement includes a $ 310 million commitment to fund a board to oversee diversity and equality issues, as well as sweeping policy changes including the elimination of compulsory arbitration, safeguards on payments for alleged harassers; and limits on the company’s use of non-disclosure agreements to employees involved in business.

The memo shows Pichai has a harsher tone than the company’s blog on Friday, which describes five of the changes and frames them as a result of Google’s internal efforts. It also comes as Pichai, whose management team initially approved payments from executives in question like Andy Rubin, has been trying to reshape aspects of the company’s culture since taking over as CEO of Alphabet in last december.

“It is very important to me that we stand at the highest level possible as a workplace on misconduct issues, and provide care and support to those who report them,” Pichai said in Friday’s email. “I have worked closely with our teams and our board to make sure we do this. ”

In 2019, shareholders took legal action against Alphabet’s board of directors for allegedly shielding senior executives from accusations of sexual misconduct, alleging breach of fiduciary duty, abuse of control, unfortunate enrichment. cause and a waste of business assets. CNBC later reported that the board formed an independent subcommittee and hired a law firm to investigate how executives handled complaints of sexual harassment and other misconduct from General Counsel David Drummond and others. frames.

In the year that followed, several executives named in the lawsuit, including Drummond and co-founders Larry Page and Sergey Brin, retired from their official leadership roles with the company.

“I am personally dedicated to doing the hard work ahead and building on the progress we’ve made together to build a better Google for everyone,” Pichai concluded.

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