Shareholders sue Pinterest over pattern of race and gender discrimination

Shareholders of Pinterest are suing members of the company’s board of directors and several top executives for allegedly ignoring or deliberately enabling discrimination against women and people of color. The suit claims that the board of directors, including Pinterest cofounders Ben Silbermann and Evan Sharp, either actively perpetrated or knowingly ignored high-profile allegations of discrimination and retaliation against Pinterest’s former COO Francoise Brougher and two Black female executives, Ifeoma Ozoma and Aerica Shimizu Banks. Pinterest did not respond to a request for comment. The suit singles out Pinterest board chair, cofounder, and CEO Silbermann in particular for creating a boys’ club at the top that systematically ignored claims of pay disparity and an inability to advance for women and people of color. In addition, it alleges that even when employees told Silbermann about Pinterest’s problems, he did nothing to change the situation. “He repeatedly placed himself before the Company, surrounding himself with yes-men and marginalizing women who dared to challenge Pinterest’s White, male leadership clique,” the suit reads. In the summer of 2020, Ozoma and Banks first shared their stories of being underpaid, underappreciated, and misleveled on Twitter. The two came forward after Pinterest issued a statement in the wake of the George Floyd protests and said that they wanted to expose the company’s hypocrisy for saying Black lives matter publicly, while mistreating its Black employees privately. (While Pinterest first denied Ozoma and Banks’s allegations, the company has since done an about-face and hired a law firm to assess its internal practices.) “I spoke up so people would know and I want accountability but don’t expect it in a white supremacist system,” Ozoma says. Their story prompted other former and current Pinterest employees to speak out , including Brougher, who filed a gender discrimination lawsuit two months later. Her suit lays out how she was given a different stock compensation vesting schedule than her peers, dramatically affecting her compensation. After she raised concerns, she says, she was cut out of meetings, including the company’s IPO roadshow—even though she was the company’s second-in-command and the only executive who’d participated in an IPO before. She was later fired. Days after Brougher went public, Pinterest employees staged a virtual walkout in support. Pinterest has not commented on the active litigation. This new lawsuit claims that the board’s and executives’ actions have resulted in a breach of fiduciary duty, waste of corporate assets, and abuse of control

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Shareholders sue Pinterest over pattern of race and gender discrimination