Microsoft, Plaintiffs Settle Temp Lawsuits

S E A T T L E, Dec. 12 -- Microsoft has reached a $97 million settlement offederal lawsuits from temporary workers who challenged the softwaregiant’s employment practices, Microsoft and attorneys for the tempsannounced today.

Between 8,000 and 12,000 current and former employees areexpected to receive payments under the settlement, said plaintiffs’attorney Stephen Strong in Seattle.

The settlement, worked out with assistance from U.S. DistrictJudge William Dwyer, was given preliminary approval by Judge JohnCoughenour today.

Dual Plaintiff Goals Reached

“The case was brought to achieve two goals: to challenge thetwo-tier employment at Microsoft and to recover benefits foremployees. We feel we achieved those to a large degree,” Strongsaid.

Many temporary workers have been converted to so-calledregular jobs since the lawsuits were filed in 1992, he said.

While a range of benefits were at issue, “the one that we wonon was exclusion from the employee stock-purchase plan atMicrosoft,” he said.

The payments plaintiffs receive will vary based on the timeperiod of the work involved, and the duration of employment, saidStrong, who worked with attorney David Stobaugh on the case.

At any given time, Microsoft employs 5,000 to 6,000 temporarystaff or contingency workers, company spokesman Matt Pilla said.Microsoft employs 42,000 people worldwide — about 21,000 of them inthe Puget Sound area.

“We’re pleased to reach an agreement that’s acceptable to allsides and which resolves the litigation,” Pilla said. “Microsoftas always has been an excellent place to work and we value everyindividual who contributes to our products and services.”

Microsoft is “constantly evaluating employee policies to ensurethe company continues to be a great place to work,” he said.

Constantly Evolving Policies

Changes made since the mid-1990s “are such that the complaintagainst us would not have been filed if they had been in place.We’re confident of that.”