Palantir Settlement Makes Good Business Sense
October 11, 2017
Palantir claims it is focusing on work, not admitting its guilt over a labor dispute in a recent settlement. This is creating a divide in the industry about what it exactly does mean. We first learned of the $1.66 million settlement in How To Zone’s story, “Palantir Settles Discrimination Complaint with U.S. Labor Agency.”
How did we get here? According to the story:
The Labor Department said in an administrative complaint last year that it conducted a review of Palantir’s hiring process beginning in 2010. The agency alleged that the company’s reliance on employee referrals resulted in bias against Asians. Contracts worth more than $370 million, including with the U.S. Defense Department, Treasury Department and other federal agencies, were in jeopardy if the Labor Department had found Palantir guilty of discrimination.
Serious accusations. But this settlement might not signal what you think it does. Palantir said in a statement:
We settled this matter, without any admission of liability, in order to focus on our work.
This might be the smartest action on their behalf. Consider what happened to SalesForce when they got wrapped up in a legal battle earlier this year. It not only slowed down their sales, but some experts feel the suit may have altered enterprise search for good.
Something tells us Palantir, with its rich government contracts, wants to simply put this behind them and not get caught in a legal web.
Patrick Roland, October 11, 2017
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Hey there deliah!