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Seagate To Pay Former Worker $1.9M For Phantom Job

Lucas123 writes "The jury in a Minnesota-based wrongful employment case delivered a verdict ordering disk-drive manufacturer Seagate to pay $1.9 million to a former employee who uprooted his family and career at Texas Instruments in Dallas to move to Minnesota for a job that did not exist. The man was supposed to be developing solid state drive technology for Seagate but was laid off months later. 'The reason that was given is that he was hired to be a yield engineer but the project never came to fruition,' the former employee's attorney said. 'They didn't care what effect it had on his career.'"

22 of 354 comments (clear)

  1. rimshot by The+Clockwork+Troll · · Score: 5, Funny

    So you're saying Seagate's HR department doesn't have good TRIM support?

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    There are no karma whores, only moderation johns
  2. Details by cappp · · Score: 5, Informative
    The Summary seems to skirt around the more salacious details. TFA says

    "It was beneficial for [Seagate] to have a yield engineer on staff to give the appearance of a complete organization with a project that was further along in development. They were not able to sell or find a partner for the ATG group despite having him on board as the placeholder yield engineer."

    The inference was that SeaGate bought Vaidyanathan on as a little corporate theatrics, manipulating appearances while they looked for a partner organization.

    He was able to sue under a Minnesota law that makes it illegal for

    any ... company...doing business in this state...to induce, influence, persuade, or engage any person to change from one place to another in this state, or to change from any place in any state, territory, or country to any place in this state, to work in any branch of labor through or by means of knowingly false representations

  3. At-will employment by oldhack · · Score: 5, Insightful

    There is no loyalty between employers and employees, and that's been the case for a few decades now. It's everyone-watch-yo-own-ass, like the Wall St. mercenaries.

    Time to consider employment contracts like they do for investment bankers.

    --
    Fuck systemd. Fuck Redhat. Fuck Soylent, too. Wait, scratch the last one.
    1. Re:At-will employment by Billly+Gates · · Score: 5, Insightful

      The employer has all the bargaining power unless you are extremely talented and rare in your abilities. Just because there is no loyality does not give Seagate the green light to harm other people. Laws like this need to be enforced to scare employers to be reasonable. After all if you did millions in damages to your employer he can sue you right? Same principle.

      If a job is temp or does not exist they can't make an offer. It is not fair to the person nor family.

  4. Re:Liability by Zero__Kelvin · · Score: 5, Funny

    ""Neato. I'm curious to what extent they're liable though."

    I'm going to guess somewhere in the 1.9 Million dollar range, but who can say for sure?

    --
    Guns don't kill people; Physics kills people! - John Lithgow as Dick Solomon on Third Rock From The Sun
  5. Re:Too Much by Charliemopps · · Score: 5, Informative

    They broke Minnesota law by lying to him. The job did not really exist, simple as that. The verdict was for Punitive Damages "compensation in excess of actual damages - a form of punishment awarded in cases of malicious or willful misconduct" not Liability damages "compensation for actual damages"

  6. My aunt went through same thing by Billly+Gates · · Score: 5, Interesting

    She was a VP of human resources. She was offered a position that paid up to 180k a year. She sold her home and looked forward to the new position. It turns out they only planned to keep her for a 3 month project and laid her off. The job details made it appear that it was permanent and no mention of temp to hire appeared in job description.

    She lost her home, savings, and moved back in with her parents. She is 55 and is too old to be rehired and lost everything. I hope she can quote this case as an example. Something has to give in this country. The rest of the 1st world does not have any of this nonsense and has much more support services. She is about ready to work at McDonalds and beg. Sometimes I hope these people and companies ROT.

  7. Re:bigger than seagate by Omnifarious · · Score: 5, Insightful

    It sounds like there is evidence if you look at some of the other comments. Apparently the job didn't really exist when they hired him. They hired him for a fake position in the hopes that his presence in the position would cause the business to materialize that would make the position exist. That sounds like bad faith to me.

  8. Re:Just shows how far HR is from people doing the by tinkerghost · · Score: 5, Insightful
    There is a job listed as 'computer tech' that requires
    • Cisco, HP, & Dell router experience
    • Apache, ms-sql, and a few other types of server software
    • HTML, XML, Java, Tomcat, Drupal, RUBY, Javascript, .net, SQL

    The list goes on with the only thing missing being actual experience with PCs, printers, and Office suites, which is what the job description is all about.

  9. Re:Too Much by e9th · · Score: 5, Insightful

    That may be why he started his own company and now earns "a fraction of the income he earned as a yield engineer," according to TFA.

  10. Re:Just shows how far HR is from people doing the by TheLink · · Score: 5, Insightful

    the BS B.S. requirements are just to thin the applicant pool a little.

    Careful though, if the job requirements are too bullshit what you are doing is excluding the people who don't bullshit (and actually bother to read the job requirements)

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  11. Re:Too Much by laughingcoyote · · Score: 5, Insightful

    I'm all for changing the "at will" bit, or at least imposing some very heavy tax penalties on companies that routinely engage in layoffs. I'm as sick as anyone of seeing people treated as some kind of disposable widget.

    But even absent that, it's a different scenario indeed when they basically knew they had no project, and just hired this guy to give the illusion that they did. The fact that the project was in a far different state than they represented it to him pretty well shows they were not acting in good faith. They represented to him that he was going to be taking on a project that was basically ready, when in reality he was there to slightly improve the odds on a longshot bet and get dumped by the wayside if it didn't work out.

    That's fraud, and it should be penalized. Don't get me wrong, I think it's equally despicable, and should be equally punishable, to represent a job as a good long-term prospect and then proceed to lay someone off after a couple months. But at least one time, the people doing it got caught, and got stung. Maybe the next company about to pull this trick will have a second thought. Seagate sure will. While this by no means will bring them to bankruptcy, it's a sum that'll get their attention.

    That's the point of punitive damages. Actual damages would just be a "cost of doing business", punitive makes it sting at least a little. And if this guy's starting his own company, he'll probably be employing some people himself soon, if he hasn't already. I can hardly begrudge him the money knowing that.

    --
    To fight the war on terror, stop being afraid.
  12. Re:Too Much by Ephemeriis · · Score: 5, Insightful

    He might have done a bit more research on the new job

    What kind of research would he have done? They told him he'd be doing X, and had no intention of giving him that job. They just slapped him in position Y as a placeholder for a few months. They were lying to him. The position didn't exist. If you can't trust the folks you're interviewing with, who else are you supposed to talk to?

    perhaps worked for a few months BEFORE uprooting his entire family (which is most likely what I would have done in a similar situation).

    May not have been possible.

    I don't think I could personally afford to pay the mortgage on my house plus the rent on an apartment or a hotel room for 6-12 months (plus associated utilities, and transportation, and whatever else).

    Then you've got the hardship of being away from your family for 6-12 months. Not just a couple hours away either. He moved from Dallas to MN. That's a good chunk of turf. If he wanted to see his family he'd be driving for a couple days or flying. Not cheap. Not easy to do.

    While I do agree that this really sucks I'm not sure it's worth almost 2 Million dollars.

    I think that 6 or maybe even 12 months severance should suffice in this situation. The guy actually got paid for 9 months to do his job so it sounds to me like there was a job, it just didn't last as long as the guy had hoped it would.

    The guy was hired to do job X. That position theoretically expands upon his knowledge and will lead to nice resume-filler and maybe some promotions or something. Instead he was stuffed in position Y, which was a place-holder job. It did nothing for his resume. Now he's got to explain the months of crap-work on his resume.

    Further, he moved 1,000+ miles. Uprooted his entire family. Moving costs... Finding a new place to live... Selling the old place... Packing everything up... Leaving all your friends behind... Not an easy thing to do.

    Finally, he had a good job down in Dallas.

    And keep in mind he was lured away with a lie. It was fraud. He wasn't hired to do job X and then job X went away... He was hired to do job X when nobody had any actual intention to have him do job X because it didn't exist. The company lied to him.

    Part of the compensation is to pick up all those additional expenses and hardships...

    Part of the compensation is to punish the company for fraudulent behavior.

    --
    "Work is the curse of the drinking classes." -Oscar Wilde
  13. Re:Liability by Loadmaster · · Score: 5, Informative

    It's the Erie Doctrine. Basically, Federal court applies the laws of the state.

    http://en.wikipedia.org/wiki/Erie_doctrine

  14. Re:Liability by hedwards · · Score: 5, Insightful

    $1.9m? It's not like they did something serious like share MP3s online.

  15. Re:Just shows how far HR is from people doing the by mehu · · Score: 5, Funny

    That's nothing. I once saw a web developer job that listed in its requirements "10 years of HTML experience".

    ...and this was in 1999.

  16. Re:bigger than seagate by Lloyd_Bryant · · Score: 5, Informative

    Without knowing the case specifics, I can't say with authority how likely this is to be overturned, but if Seagate can demonstrate that the project fell apart for business reasons that could not be reasonably anticipated, it'll die on appeal. And it is very likely that it will.

    First, if Seagate could have established that the person was hired for a perfectly valid position, which went away as a result of business conditions they couldn't have forseen, then they wouldn't have lost this trial in the first place.

    Second, the "At will" issue is irrelevant - the lawsuit was based on a law that says employers are not allowed to lure people into relocating unless there's an actual job waiting for them.

    Finally, appeals are generally based on issues of law, not issues of fact. So unless Seagate can come up with a good legal argument why that state law doesn't apply in this case, it's unlikely they'll get a reversal on appeal. At best, they may get the award reduced.

    --
    Don't tell me to get a life. I had one once. It sucked.
  17. Respectfully, I disagree by Weaselmancer · · Score: 5, Interesting

    But having done 4 years of pushing paper only means your good at pushing paper. It does *not* promise talent.

    I agree with you here. Talent is not a guarantee with a college degree absolutely. But it does guarantee something that actually is important to employers. A college degree is a statement that you can attempt a large and difficult and often times dreary task and stick through it to the end, and actually see it through to the end. A degree says determination. Employers love determination. That's what gets projects done on time.

    in fact, most talent is driven from individuals during college.

    Here is where we disagree. K-12 is like that, but college certainly isn't. I loved college intensely. If I hadn't gotten married along the way I'd be a prof myself by now. Where else can you go into a building and have PhD's explain interesting things to you all day long? It's wonderful.

    I loved my engineering courses. I look at the world with new eyes now. For example, I know that shape a power line makes is a catenary, and I know why it looks like that. Hell, I even liked the goofy other stuff they made me take. I still lean on my Economics class for insights into the world around me. I know why the GDP is important. And public speaking. I teach classes on our software every so often and each time I walk into a room full of strangers I think of Dr. Dial who taught me how to speak to crowds. And even a poetry appreciation class where they taught us how to pull meaning from words and dissect advertising. I can tell you how you are being manipulated by any advertisement 9 times out of 10. I mostly avoid TV and advertising now because of that class.

    I positively bloomed in college, and found it to be the most enriching time of my life.

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    Weaselmancer
    rediculous.
  18. Re:Too Much by Jah-Wren+Ryel · · Score: 5, Insightful

    I'm all for changing the "at will" bit, or at least imposing some very heavy tax penalties on companies that routinely engage in layoffs. I'm as sick as anyone of seeing people treated as some kind of disposable widget.

    That's what unions are for. Despite the hate, unions are about as pure a free-market solution to the kind of problem as it gets.

    Some might argue that "free-market" idealism goes out the window when unions get special-interest laws passed in their favor, well if the corps can do it, so to should the unions.

    --
    When information is power, privacy is freedom.
  19. Re:Just shows how far HR is from people doing the by Darinbob · · Score: 5, Insightful

    Those are all HR filters. Getting a job by going through HR is always the hardest method. Especially if it's a more generic sort of job. Better to get your resume into the hands of actual people who know what the job entails. Usually that means having contacts. It's still a good idea even then to get some meaningless buzzwords into the resume, because I've seen some HR people push back even when the resume is handed to them from the hiring manager who says "I like this person, bring them in for an interview".

  20. Re:talking down... by ledow · · Score: 5, Interesting

    Er... I *don't* want people to know my real age. I *do* look younger than I am and, yes, I do dress down (nothing that could be described better than "casual" during working hours) and have done so since I left uni. It's a kind of privilege that comes from being one of the highest-paid people in my workplace and one of the most critical (my employers are *always* worried about me leaving / getting caught under a bus). The official rules state that the dress code applies to everyone. Somehow every school head I've ever worked for has successfully managed to carve out an exception for that rule for me without me even having to ask or it having to come up in any conversation - while simultaneously berating other staff about exactly the same thing.

    I like people being off-guard, getting the wrong idea and underestimating. It makes work-life fun, especially when things like this happen. My entertainment at work is primarily derived from watching other people's pathetic attempts at screwing me over. I actually won a contract by that method once - I was asked to look at an IT system that a large educational company had put into a school. I delivered my verdict to the school in question after the existing contractor had introduced himself to me while I was studying the system. Because I was "just a kid", they came up with lots of bullshit excuses for why the system was so bad, told the school not to hire kids to work on it, and basically tried to smear my name. It proved embarrassing for them when I had to deliver a report to the school on the suitability of their system, having been hired to do exactly that, and was able to quote lots of shortcuts and corner-cutting that they'd done and then tried to pass off with made-up technical explanations (and in some cases had unwittingly implied in what they'd said because they didn't think a "kid" would be listening to what they *weren't* saying). Not only did they make a fool of themselves, they were unable to counter in the meeting because they were caught completely off-balance - having believed that I was just "the IT kid" the school had brought in, rather than an IT consultant hired to evaluate their system - they lost the support contract to me.

    It wasn't a one-off. People agree to meetings with me because they assume I'm just the IT kid and they can out-speak me when it comes to meetings between them, myself and my bosses. One guy tried to sell us a Linux network that could "run the Ranger suite" of network management software that we were using on the Windows domains for kids - apparently "there's this thing called WINE that will just run everything Windows on Linux". He didn't like the meeting where I pointed out that I actually know the WINE code quite well, and have my own patches for it, and that I could demonstrate how well WINE would run an AD-connected, group-policy-integrated network management Windows app that would do things like enforce kids not clicking on Control Panel or forcing file associations or even doing things like manage AD users when run on Linux. Let's just say, if you could get past the setup routine at all (with lots of hacks) then it probably *wouldn't* crash if you just ran the desktop client portion of it but it would be hard-pushed to then do things like remove the control panel from the Linux desktop, or stop kids accessing USB drives. He actually stormed out of that meeting (I'd never seen someone do that in a professional meeting before) and lost several hundred thousand pounds worth of contract - I heard he was sacked sometime after. I offered to build a Linux thin-client system better than the company were offering in an afternoon, and did it.

    Or when the IT teachers try to claim that their lessons were unable to continue because the IT gear was out of order (i.e. the "blame our not meeting OFSTED inspection criteria on the IT guy" rap). Turns out they never think that I might actually have complete logs of everything, including service and computer availability down to the nearest 5 seconds, or that I de

  21. Re:Yea? so it was a targeted job listing.. by Moryath · · Score: 5, Insightful

    Actually, most of those ads are written so that *no American can possibly fill them*.

    They're called "PERM ads", and they are designed to do an end-run around the US's H1-B Visa system. They run completely fake, ludicrous ads that look a lot like this analysis here.

    Then they lie their asses off claiming they "can't find qualified Americans" for the job, and proceed to try to hire H1-B's (who are locked in to one employer and get shit wages) instead. Meanwhile, Americans who actually DO qualify for the job are shut out of the hiring process, since when the employers go looking in India or elsewhere, the job requirements magically return to what's actually going to be needed on the job.