More than a million Illinois residents will receive a $397 settlement payment from Facebook this week, thanks to a legal battle over the platform’s since-retired photo-tagging system that used facial recognition. It’s been nearly seven years since the 2015 class-action lawsuit was first filed, which accused Facebook of breaking a state privacy law that forbids companies from collecting biometric data without informing users. The platform has since faced broad, global criticism for its use of facial recognition tech, and last year Meta halted the practice completely on Facebook and Instagram. But as Voxnotes, the company has made no promises to avoid facial recognition in future products.

Even though it was first filed in Illinois, the class-action lawsuit eventually wound up on Facebook’s home turf — at the U.S. District Court for Northern California. Nevertheless, the court repeatedly denied the platform’s many motions to dismiss the lawsuit and eventually certified the Illinois class-action. Facebook tried to appeal the case certification with the Ninth Circuit Court of Appeals, but was rejected. After Facebook initially agreed to settle the lawsuit for $550 million — which at the time was the largest payout from an online privacy class-action lawsuit — a federal judge fought back and said the amount was too small. Finally, the company last year agreed to a settlement total of $650 million.

The issue at hand was Facebook’s old photo-tagging system, which relied on facial recognition to recognize users in photos and videos. Attorneys representing Illinois residents argued that the platform’s “Suggested Tags” feature violated the state’s Biometric Information Privacy Act. Any Facebook user in Illinois who posted a photo of themselves or was tagged on the platform during a certain time period was eligible to file a claim. Nearly 1.6 million Illinois residents in total were included in the settlement.

A number of Redditors reported receiving their settlement checks via direct deposit or in the mail this week, though not everyone has received their payment yet. “I did mine and my wife’s at the same time and got one yesterday and the other today. This was through Zelle,” noted one user on Reddit.

Some who opted to receive a check in the mail were a little thrown off by its non-descript appearance. “Honestly I almost threw mine away. It was sent in a brown envelope made of recycled paper. Felt just like a paper bag. I thought for sure it was junk mail,” said a user on Reddit.

Peloton has struggled financially in recent months, but it shared a bit of good news on Monday. It announced a settlement agreement with iFit, one of the companies it sued last fall for attempting to “free ride” off of its technology. At the time, Peloton accused its rival of violating up to four of its patents related to on-demand classes.

As part of the settlement, iFit will remove some leaderboard features from its devices. Peloton, meanwhile, has agreed to license a handful of patents from iFit that involve the company’s remote control technologies. The two firms did not disclose the financial terms of the agreement. “The parties are pleased to put the litigations behind them,” Peloton said.

While we will probably never know the factors that led to iFit’s decision to settle, the company probably had the fate of Flywheel in mind. Just before the start of the pandemic, Flywheel announced it would shut down its online classes after losing a patent lawsuit to Peloton. In the aftermath of that announcement, Peloton began a promotion for Flywheel customers where they could trade in their bikes for a refurbished Peloton bike at no cost. At the same time, there are examples of companies successfully challenging Peloton. At the start of the year, Echelon convinced the US Patent and Trademark Office that Peloton shouldn’t have been granted two patents related to its streaming technologies.

Earlier this week, David Harville, one of seven former eBay employees involved in a 2020 campaign to harass the creators of a newsletter critical of the e-commerce company, pleaded guilty to five federal felony charges, ending one of the most bizarre episodes in recent tech history.

In June 2020, the US Department of Justice charged six former eBay employees, including Harville, with conspiracy to commit cyberstalking and conspiracy to tamper with witnesses. Of the group, Harville was the final employee to admit involvement in the harassment campaign that targeted Ina and David Steiner, The Associated Press reported on Thursday.

In 2019, the Massachusetts couple published an article in their EcommerceBytes newsletter about litigation involving eBay. Responding to what they considered negative coverage of the company, the group carried out a harassment campaign that involved, among other actions, sending the couple a preserved fetal pig, live spiders and a funeral wreath. They also created fake social media accounts to send threatening messages to the Steiners and share their home address online.

According to the Department of Justice’s original 2020 filing, part of Harville’s involvement in the campaign included a plot to install a GPS tracking device on the Steiner’s car. Harville, alongside James Baugh, one of the other former employees charged in the scheme, carried with them fake documents allegedly designed to show the two were investigating the Steiners for threatening eBay executives.

Last July, a federal judge sentenced Philip Cooke, the first of the seven former employees convicted in the scheme, to 18 months in prison. At the time, US District Judge Allison Burroughs called the entire case “just nuts.” That same summer, the Steiners sued several eBay employees, including former CEO Devin Wenig, for carrying out a conspiracy to “intimidate, threaten to kill, torture, terrorize, stalk and silence them.” Wenig has denied having any knowledge of the campaign.

Federal agencies are the latest to alert companies to potential bias in AI recruiting tools. As the APnotes, the Justice Department and Equal Employment Opportunity Commission (EEOC) have warned employers that AI hiring and productivity systems can violate the Americans with Disabilities Act. These technologies might discriminate against people with disabilities by unfairly ruling out job candidates, applying incorrect performance monitoring, asking for illegal sensitive info or limiting pay raises and promotions.

Accordingly, the government bodies have released documents (DOJ, EEOC) outlining the ADA's requirements and offering help to improve the fairness of workplace AI systems. Businesses should ensure their AI allows for reasonable accommodations.They should also consider how any of their automated tools might affect people with various disabilities.

There's no guarantee companies will follow the advice. However, it comes amid mounting pressure on companies to temper their uses of AI for recruiting and worker tracking. California recently enacted a productivity quota law banning algorithms that violate health, labor and safety regulations, or lead to firings of people who can't meet dangerous quotas. New York City, meanwhile, now requires that AI hiring systems pass yearly audits looking for discrimination. Companies that don't heed the new warnings could face serious legal repercussions at multiple levels.

Even smart rings aren't immune to patent wars. Wareablenotes Oura has sued fledgling rival Circular for allegedly violating patents covering both ring design and biometric data collection. Circular's upcoming wearable allegedly copies Oura's work by both stuffing electronics into a cavity and gathering info to generate an overall energy score.

Oura said it asked Circular to cease and desist in January, roughly a year after the newcomer started its crowdfunding campaign. Circular took on lawyers to review the patents in response.

Circular unsurprisingly objected to the lawsuit and characterized it as an attempt to stifle competition. In a statement, a spokesperson told Wareable that pursuing a monopoly has "never driven innovation." Oura supposedly wants the smart ring market to itself, in other words.

It's not certain which side will prevail. While the patents are broad, effectively covering many attempts to make smart rings, the US Patent Office did approve them. Circular may have to challenge the patents themselves to prevail in court, not just dispute their relevance to its particular finger-based technology.

Samsung's chip foundry clients will soon have to pay considerably more for the company's services. According to Bloomberg, the tech giant is already in talks with its clients about charging around 15 to 20 percent more to manufacture their chips, depending on how sophisticated their products are. Samsung is only the latest company in the industry to raise its prices in an effort to keep up with the growing costs of procuring materials in the midst of the global supply chain crisis. 

Bloomberg says companies that need chips manufactured on legacy nodes would be facing the biggest price hike, which will be applied sometime in the second half of this year. Apparently, Samsung is already done negotiating with some of its clients, but it's still currently in discussion with others. Samsung's foundry business achieved its highest ever first quarter sales for the first three months of 2022. While the company is optimistic about its future, it's also expecting the global component shortage to continue having an impact on its business. Manufacturing costs are rising by up to an average of 30 percent, as well, which means foundry businesses have to charge more to make a profit. Rival foundries like TSMC's already raised prices by 20 percent last year and will charge even more in 2023. 

Bloomberg Intelligence Analyst Masahiro Wakasugi said: "This is an inevitable move for Samsung. Some customers may accept higher prices if they can get chips earlier than others."

Seeing as Samsung has cutting-edge gear its competitors don't have and other foundries are raising prices anyway, its clients will most likely agree to pay its new prices. And since the price hike affects the whole industry, we can likely expect to pay more for cars, smartphones, consoles and other devices in the future.

As workers at some of its Stores attempt to unionize, Apple is giving talking points to managers to tamp those efforts down, Vice has reported. It's telling employees that they could lose career opportunities, personal time off and work flexibility, adding that the company will pay "less attention to merit" in union stores. 

The scripts have been given to leaders at multiple Apple Stores, according to Vice. Managers have used the scripts during "downloads," or employee meetings that start shifts. "There are a lot of things to consider. One is how a union could fundamentally change the way we work," they reportedly read. "What makes a Store great is having a team that works together well. That can’t always happen when a union represents a Store’s team members."

Employees of Apple's Atlanta Cumberland Mall Store were the first to try to unionize, hoping to join the Communications Workers of America (CWA). They've complained about relatively low pay for their region, difficult working conditions and limited promotion opportunities. 

"Everybody deserves the opportunity to be able to not worry about whether they can afford food or pay their bills. Everybody deserves to be able to afford to live in the city that they work in," employee Elli Daniels told Engadget last month. 

Apple didn't respond directly to Vice about the report, but repeated a statement it has given before. "We are fortunate to have incredible retail team members and we deeply value everything they bring to Apple. We are pleased to offer very strong compensation and benefits for full time and part time employees, including health care, tuition reimbursement, new parental leave, paid family leave, annual stock grants and many other benefits," it told Vice. Engadget has reached out for comment. 

Apple has reportedly hired the same law firm Starbucks is using for its anti-union campaign and its talking point rhetoric resembles arguments used by Amazon and Starbucks during worker meetings. One Amazon union buster warned employees they could end up with lower pay after unionization, before walking that back under employee questioning. 

However, research has shown that unions improve wages and benefits compared to non-union workers in the same industries, while also narrowing race and gender disparities, as Vice noted. The Atlanta union vote is set for next month, and other stores in Maryland and New York are also reportedly pursuing unionization bids.

Meta, Facebook's parent company, is facing another lawsuit filed by one of is former content moderators. According to The Washington Post, this one is filed by Daniel Motaung, who's accusing the company and San Francisco subcontractor Sama of human trafficking Africans to work in exploitative and unsafe working conditions in Kenya. The lawsuit alleges that Sama targets poor people across the region, including those from Kenya, South Africa, Ethiopia, Somalia and Uganda, with misleading job ads. They were reportedly never told that they'd be working as Facebook moderators and would have to view disturbing content as part of the job. 

Motaung said the first video he watched was of someone being beheaded and that he was fired after six months on the job for trying to spearhead workers' unionization efforts. A Time report looking into the working conditions of the office where Motaung worked revealed that several employees suffered from mental trauma due to to their jobs. Sama, which positions itself as an "ethical AI" company providing "dignified digital work" to people in places like Nairobi, has on-site counselors. Workers generally distrusted the counselors, though, and Sama reportedly rejected counselors' advice to let workers take wellness breaks throughout the day anyway. 

As for Motaung, he said in the lawsuit that his job was traumatizing and that he now has a fear of death. "I had potential. When I went to Kenya, I went to Kenya because I wanted to change my life. I wanted to change the life of my family. I came out a different person, a person who has been destroyed," he noted. The lawsuit also mentioned how Motaung was made to sign a non-disclosure agreement and how he was paid less than promised — 40,000 Kenyan shillings or around $350. The report by Time said employees left in droves due to the poor pay and working conditions. 

Harrowing stories of Facebook moderators having to watch traumatizing videos and working in poor conditions aren't new and come from all over the world, including the US. In fact, the company agreed to pay its US content moderators part of a class action lawsuit $52 million back in 2020. Those who were diagnosed with psychological conditions related to their work got a payout of up to $50,000.

Meta's Nairobi office told The Post that it requires its "partners to provide industry-leading pay, benefits and support." It added: "We also encourage content reviewers to raise issues when they become aware of them and regularly conduct independent audits to ensure our partners are meeting the high standards we expect of them."

Amazon has one less legal challenge to worry about. An appeals court today dismissed a lawsuit by New York State Attorney General Letitia James against the company for its coronavirus safety protocols and alleged retaliation against workers, reportedReuters. In its ruling, the court said that since federal labor law preempts state labor law, National Labor Relations Board “should serve as the forum” for the dispute. It also pointed to a separate NLRB case over fired employee Gerald Bryson and said it contained “essentially the same” allegations of retaliation, and argued there was a risk of “interference” over the NLRB’s jurisdiction.

The lawsuit — filed last year — accused Amazon of subjecting workers from two Staten Island facilities to unsafe conditions during the pandemic. It also alleged that Amazon retaliated against former employees Christian Smalls and Derrick Palmer — now of the Amazon Labor Union — by firing them after they protested the company’s working conditions. Just a few days earlier, Amazon filed its own lawsuit against the New York State attorney general’s office in an effort to stop the investigation.

Last month, it appeared that luck was on the NY State attorney general’s side when a federal judge denied Amazon’s bid to transfer the lawsuit. But the New York Court of Appeals today not only reversed this decision, it dismissed claims in the state attorney general’s lawsuit that Amazon violated COVID-19 health and safety protocols. The appeals court stated that since New York State’s coronavirus workplace protocols have since been lifted, the lawsuit's efforts to get Amazon to comply with them were “moot.”

“Throughout the pandemic, Amazon has failed to provide a safe working environment for New Yorkers, putting their health and safety at risk. As our office reviews the decision and our options moving forward, Attorney General James remains committed to protecting Amazon workers, and all workers, from unfair treatment,” wrote Morgan Rubin, a spokesperson for the attorney general, in a statement to Engadget.

Engadget has reached out to Amazon for comment on the lawsuit and will update if we hear back. 

Last week, a group of Apple employees wrote an open letter criticizing the company's hybrid work-from-home policy, which requires employees to be at the office three days a week starting May 23rd. Now, Apple has lost director of machine learning Ian Goodfellow over the policy, according to a tweet from The Verge's Zoë Schiffer. Goodfellow may have been the company's most cited machine learning expert, according to Schiffer. "I believe strongly that more flexibility would have been the best policy for my team," he wrote in a note to staff. 

A group of Apple staffers called "Apple Together" opposed to the RTO (return-to-office) strategy cited multiple arguments against it. They noted that in-person collaboration isn't needed that often, thanks to apps like Slack. They also countered Apple's argument that in-person work allows for "serendipity" when people bump into each other, saying that Apple's siloed office structure makes that difficult. 

It also noted that a daily commute "is a huge waste of time as well as both mental and physical resources," and that the policy will lead to a "younger, whiter, more male-dominated, more neuro-normative, more able-bodied" workforce.

Mainly though, the group cited Apple's hypocrisy in the way it markets its products. "We tell all of our customers how great our products are for remote work, yet, we ourselves, cannot use them to work remotely? How can we expect our customers to take that seriously? How can we understand what problems of remote work need solving in our products if we don't live it?" the letter states. 

Apple, which brought in a Q3 record $97.3 billion last quarter, has been facing employee discontent of late. On top of issues around RTO, it's facing an NLRB complaint over hostile working conditions, and Apple Store employees are quietly attempting to unionize.