Google has agreed to pay$28 million (E25.6 million) to settle a class action lawsuit alleging it favoured white and Asian employees by offering them higher pay and better career progression.

The case, which covered at least 6,632 employees in California between 2018 and 2024, won preliminary approval from a Santa Clara county judge last week.

The lawsuit was led by Ana Cantu, a former Google employee who claimed the company placed white and Asian workers in higher job levels while restricting promotions and pay increases for others.

Cantu, who worked in Google's people operations and cloud departments for seven years, alleged she was denied career advancement despite performing well. She argued that Google's practices violated the California Equal Pay Act.

A Google spokesperson confirmed the settlement but maintained that the company had not engaged in discriminatory treatment. A final hearing is scheduled for September, where the court will decide whether to grant full approval of the settlement.