Lady Justice
Digital News Report – The law firm of Lieff Cabraser Heimann & Bernstein has filed an antitrust class action lawsuit against some of the worlds leading high-tech firms. LCH&B says the companies were conspiring to fix the wages of their employees by entering into “No Solicitation” agreements with each other.
Typically companies use “cold calling” to recruit skilled employees. They would call on employees from competing businesses and ask them to work for them. This process was abated for several years, LCH&B alleges.
The problem started in 2005 when an agreement between Lucasfilm and Pixar was made, and continued through 2009. By entering into “No Solicitation” agreements, the firms were able to keep wages lower.
They estimate that the agreements held wages down by 10 to 15 percent. “These companies owe their tremendous successes to the sacrifices and hard work of their employees, and must take responsibility for their misconduct,” stated Lieff Cabraser attorney Joseph R. Saveri said in a statement.
LCH&B are seeking lost compensation for their clients. They also allege a conspiracy among the defendants.
By Josh Shorenstein
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