Software engineer’s firing ruled illegal in a rare win for a tech worker


Beginning in 2022, large tech companies undertook waves of layoffs and reoriented their businesses around AI, often leaving their workforces feeling vulnerable and micromanaged. — Photo by ThisisEngineering on Unsplash

As tech employees have become more outspoken at work over the past decade, companies have often fired or disciplined those who they say have gone too far. It has been rare for workers to find legal recourse.

But a recent ruling is a rare exception. An administrative law judge for the National Labor Relations Board found on July 1 that software company Atlassian had illegally fired an engineer in 2023 after she pushed back against manager layoffs and other policy changes.

The ruling found that the engineer, Denise Unterwurzacher, had a federally backed right to make such comments because she made them as part of a collective effort to aid or protect co-workers.

The judge ordered the company to reinstate Unterwurzacher to her former job or an equivalent position, and to make her whole financially. It is one of the most significant outcomes in years in a case involving the labour rights of a tech worker.

“I pursued this case not just for myself, but also for the rights of those who continue to work at Atlassian and in the wider tech industry,” Unterwurzacher said in a statement.

During the case, Atlassian argued that it had fired Unterwurzacher for violating company rules that require employees to behave civilly and avoid ad hominem attacks against one another.

“We believe in upholding our company values and community guidelines to ensure our workplace is safe and respectful for all,” Atlassian said in a statement after the ruling was announced. The company said that it planned to appeal to the labour board in Washington and that it was therefore “inappropriate to comment further.” Unterwurzacher’s reinstatement and financial compensation will hinge on the appeals process.

Tensions like the one between Unterwurzacher and Atlassian have become more prominent at tech companies in recent years. Employees had long considered themselves part of a professional elite that enjoyed generous pay and perks and a collaborative relationship with management.

But the relationship began to shift over the past decade, even as the industry became a driving force in the US economy. Workers seized on what they said were gaps between company policies and their long-standing principles, like “Don’t be evil,” which was once Google’s informal motto.

Some protested their employers’ contracts with the Trump administration or with the Israeli government, and the companies in turn disciplined or fired workers who they said were being disruptive or were compromising the safety of fellow employees.

Beginning in 2022, large tech companies undertook waves of layoffs and reoriented their businesses around artificial intelligence (AI), often leaving their workforces feeling vulnerable and micromanaged.

“The issues people are organising over really do seem to have shifted to AI,” said Emily Mazo, a doctoral student at Columbia University who studies tech worker activism. Mazo said workers were concerned both about the possible societal dangers of AI and about its impact on their job security and working conditions.

The Atlassian case dates to 2019, when Unterwurzacher posted sceptical comments on a company messaging platform in response to an announcement about job title changes, according to the judge’s ruling.

The company terminated her in June 2023 after two more incidents, including a sarcastic allusion to an Atlassian founder’s partial ownership of the Utah Jazz basketball team. “Just dialling in from my NBA team’s headquarters to yell at the people whose careers I’ve just pummelled,” she wrote.

At a subsequent meeting with an employee relations official, according to the ruling, Unterwurzacher was told that she had exhibited a pattern of breaking company rules and that her behaviour hadn’t improved after repeated coaching.

Unterwurzacher said in an interview that she hadn’t received any formal coaching – just informal outreach from company officials – and that her comments resembled the kind of employee banter that was common on internal channels.

She said that she believed the company had fired her because it was trying to rein in its culture of openness amid a sharp decline in its share price and that she was known to be outspoken. “I believe they fired me to silence me and to frighten everyone else who was still working at Atlassian to not speak out,” she said.

Atlassian argued that Unterwurzacher’s comment in the third case was especially personal. A spokesperson said that the company had disciplined workers for violating such rules on other occasions, and that it had sought to protect its culture of openness, not rein it in, by cracking down on workers who abused its norms and behaved disrespectfully toward one another. – ©2026 The New York Times Company

This article originally appeared in The New York Times.

Follow us on our official WhatsApp channel for breaking news alerts and key updates!

Next In Tech News

Why your fitness tracker might be making you less healthy and happy
S.Korea flags record 2027 budget of over $530 billion as AI chip boom lifts revenues
TSMC posts record revenue in second quarter on AI demand
Amid criticism, Meta reins in new AI tool that automatically accessed public Instagram images
OpenAI, Meta, SpaceXAI compete for more cost-efficient AI models
In Sicily, drones at work to predict volcanic eruptions
Could the EU force Instagram and Facebook to end 'addictive designs'?
TSMC to add 2 advanced chip packaging plants in Chiayi, Taiwan minister says
India's Tata Consultancy Services plans up to 8,900 AI deployment engineers, seeks AI acquisitions
Music industry launches AI-generated content labels

Others Also Read