Apple was charged with unlawfully monitoring its employees’ personal devices and iCloud accounts while preventing them from speaking out about their wages and working conditions.
TakeAway Points:
- Apple has been accused in a new lawsuit of illegally monitoring its workers’ personal devices and iCloud accounts while also barring them from discussing their pay and working conditions.
- The lawsuit added that Apple imposes confidentiality policies that prohibit employees from discussing working conditions, including with the media, and engaging in legally protected whistleblowing.
- Super Micro Computer announced on Monday that it has started the process of finding a new finance head in response to suggestions given by a special committee that was established to investigate the accounting methods of the AI server manufacturer.
Lawsuit against Apple for silencing workers and spying on personal devices
The complaint filed in California state court on Sunday by Amar Bhakta, who works in digital advertising for Apple, claims the company requires employees to install software on personal devices that they use for work, allowing Apple to access their email, photo libraries, health and “smart home” data and other personal information.
At the same time, the lawsuit alleges, Apple imposes confidentiality policies that prohibit employees from discussing working conditions, including with the media, and engaging in legally protected whistleblowing.
Bhakta, who has worked for Apple since 2020, says he was barred from talking about his work on podcasts and instructed to remove information about his working conditions from his LinkedIn profile.
“Apple’s surveillance policies and practices chill and thus unlawfully restrain employee whistleblowing, competition, freedom of employee movement in the job market, and freedom of speech,” the lawsuit said.
Responses from Apple
Apple, in a statement provided by a spokesperson, said the claims in the lawsuit lack merit and that its workers are trained annually on their rights to discuss their working conditions.
“At Apple, we’re focused on creating the best products and services in the world and we work to protect the inventions our teams create for customers,” the company said.
Lawyers for Bhakta also represent two women who filed a lawsuit in June accusing Apple of systematically underpaying female workers in its engineering, marketing, and AppleCare divisions. Apple has said it is committed to inclusion and pay equity.
Apple is also facing at least three complaints from a U.S. labor board claiming it has illegally deterred employees from discussing issues such as sex bias and pay discrimination with each other and the media, including by restricting their use of social media and workplace messaging app Slack. The company has denied wrongdoing.
The new lawsuit was filed under a unique California law that allows workers to sue their employers on behalf of the state and keep 35% of any penalties that are recovered.
Super Micro to hire new CFO
Super Micro Computer has begun the search for a new finance chief based on recommendations made by a special committee formed to look into the AI server maker’s accounting practices, the company said on Monday.
The company said the independent committee’s review, which took over three months, found no evidence of fraud or misconduct on the part of Super Micro’s management, sending its shares up about 20%.
In late July, Super Micro’s auditor at the time, Ernst & Young (EY), raised concerns about the company’s governance, transparency, and internal control over financial reporting, prompting its board to form a special committee.
The committee found that EY’s statements were not supported by facts examined in its review, Super Micro on Monday said, adding the evidence did not raise any substantial concerns about the integrity of Super Micro’s management.
“The Audit Committee demonstrated appropriate independence and generally provided proper oversight over matters relating to financial reporting,” according to the committee’s findings.
However, the committee found certain lapses from the company’s side that the CFO was responsible for, including instances of not promptly informing the company’s auditor of the rehiring of some former employees.
Super Micro said it does not expect to restate its previously reported financials. The company reiterated that it would complete its annual financial report for the year ended June 30, but did not provide a target date for the filing.
The company also appointed Kenneth Cheung, currently the vice president of finance and corporate controller at Super Micro, as its chief accounting officer following the committee’s recommendations.
It also plans to name a chief compliance officer and a general counsel.
