Over the last few years, the drive toward wage transparency in employment practices has gained momentum across the United States, especially in states like Washington. One notable case reflecting this shift involves OpenGov Inc., a government software company accused of failing to include mandatory wage and benefits information in job postings targeted at Washington-based candidates. The result is a class action lawsuit settlement that could benefit hundreds of job applicants.
Between January 1, 2023, and February 25, 2025, individuals who applied to OpenGov jobs in Washington but were not provided salary or benefit information in the listings may now be eligible for financial compensation. Although OpenGov has not admitted any wrongdoing, the company has agreed to settle the claims, aligning with growing accountability in employment transparency.
This settlement not only compensates the affected applicants but also underscores the rising importance of adhering to Washington’s Equal Pay and Opportunities Act (EPOA). For employers, it sends a cautionary message about compliance; for applicants, it’s an opportunity to claim their share of a legally mandated remedy.
Understanding the Legal Basis: Washington’s Equal Pay Law
The class action stems from alleged violations of the Washington Equal Pay and Opportunities Act, which requires employers to disclose the following in job listings for any Washington-based positions:
- A wage scale or salary range for the job role.
- A general description of benefits and other compensation such as bonuses or commissions.
OpenGov’s job listings were reportedly missing these disclosures, which prompted the legal action. Under Washington law, the omission of this information deprives job seekers of the opportunity to evaluate roles on equal footing, particularly affecting marginalized groups who historically face pay gaps.
Employers failing to follow this rule risk not just reputational damage, but also legal and financial penalties, as demonstrated in this case.
Who Qualifies for Compensation Under the Settlement
To benefit from the OpenGov settlement, claimants must meet very specific eligibility criteria. This list outlines the required conditions:
- Applied for a job at OpenGov between Jan 1, 2023, and Feb 25, 2025
- The job was based in Washington
- The posting did not disclose:
- A salary range or wage scale, and/or
- A general description of benefits/compensation
Eligible individuals must file a claim form by May 26, 2025, to be considered for compensation.
Timeline and Legal Process Milestones
The settlement follows a timeline with key deadlines that class members must be aware of. Missing these dates may result in ineligibility for compensation or loss of rights.
| Milestone | Date |
|---|---|
| Claim Submission Deadline | May 26, 2025 |
| Deadline to Object or Exclude | May 26, 2025 |
| Final Approval Hearing | July 9, 2025 |
| Estimated Payout Distribution | After court approval |
The final approval hearing will determine whether the proposed settlement terms will be upheld by the court. Upon approval, payments will be processed accordingly.
How Much Can Class Members Expect to Receive?
While the total settlement fund has not been publicly disclosed, payments will be distributed equally among all eligible and verified claimants. This simplifies the process, as no individual proof of damage or loss is required.
Additionally, the payments are categorized as non-wage damages under IRS rules. This classification means:
- No employment taxes (e.g., Social Security or Medicare) will be withheld.
- Recipients may need to report the amount as miscellaneous income on tax filings.
Payout Structure Table
| Aspect | Detail |
|---|---|
| Payout type | Non-wage damages |
| Basis of payment | Equal share among valid claims |
| Proof of loss required | No |
| Tax reporting implications | May be reportable to IRS as income |
The actual payment will depend on the total number of participating class members who file valid claims.
Steps to File a Claim: What You Need to Do
If you believe you are eligible, the next steps are fairly straightforward. It is crucial, however, to complete the process accurately and before the deadline.
- Visit the settlement portal provided by the claims administrator.
- Complete the online claim form or request a paper version if preferred.
- Enter your full legal name, contact information, and job application details.
- Submit the form before May 26, 2025.
- Retain a copy or confirmation number for your records.
Those who do not act by the deadline will not be eligible for any payment and will waive their right to take further legal action.
Legal Rights and Additional Options for Class Members
Class members have the freedom to make decisions beyond just filing a claim. Depending on their preference, they can choose one of the following:
- Submit a Claim – Join the settlement and receive compensation.
- Exclude Yourself – Opt out to retain the right to sue OpenGov independently.
- Object – Stay in the class but formally object to any terms of the settlement.
- Do Nothing – Forfeit all rights to compensation or further action.
Each path has implications, and claimants should review them carefully before proceeding.
Broader Impact: Compliance and Workplace Equity
This case stands as a pivotal reminder to companies operating in Washington and other states with similar transparency laws. Wage opacity not only discourages diverse applicants but also invites serious regulatory scrutiny.
The settlement reinforces the evolving regulatory landscape around employment practices, pushing companies toward ethical compliance. Job seekers now expect full visibility into pay structures and benefits — a shift that improves trust and reduces wage inequality.
Employers should implement the following safeguards immediately:
- Audit all job postings to ensure compliance.
- Train HR teams on state-specific employment laws.
- Update job templates to include wage and benefit language.
Failing to follow these steps could result in lawsuits similar to OpenGov’s.
A Small Step for Equity, a Giant Leap for Accountability
While the OpenGov wage scale class action settlement doesn’t involve allegations of underpayment or discrimination, it hits at the heart of informational fairness in hiring. Applicants deserve to know what compensation to expect before investing their time.
For OpenGov, this case has led to financial settlement and policy revision. For applicants in Washington, it presents a chance to benefit from the rights guaranteed under law. As employment law continues to evolve, this settlement is a clear signal: transparency is no longer optional it is enforceable.