Apple, Google reach new deal to end US poaching case

Lawsuit filed in 2011 over Silicon Valley collusion said to affect 64,000 tech workers could soon be resolved

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Apple, Google reach new deal to end US poaching case US District Judge Lucy Koh in San Jose, California, last year dismissed the $324.5m settlement deal saying it was too low.
By  Helen Gaskell Published  January 14, 2015

Apple and Google are among four Silicon Valley companies that have agreed to a new settlement that would resolve an antitrust class action lawsuit by tech workers.

According to Reuters, the workers accused Apple, Google, Intel Corp and Adobe Systems Inc of conspiring to avoid poaching each other's employees, limiting their job mobility and as a result, driving down wages.

US District Judge Lucy Koh in San Jose, California, last year dismissed the $324.5m settlement deal saying it was too low. She said that given the strength of the case against the companies and that there was "ample evidence of an overarching conspiracy" between the companies and that the proposed settlement amount did not reach standards for "reasonableness".

The new amount has not been disclosed but in the short court filing on Tuesday, the companies said plaintiffs will file a detailed explanation of the new deal "imminently." Koh will then likely decide whether to accept or reject it.

During the three-year case, private correspondence between Silicon Valley icons became public, including emails between the Apple co-founder Steve Jobs and former Google chief executive Eric Schmidt which showed the two men agreeing not to poach each other's employees.

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