A source tells PEOPLE the former anchor is expected to receive $20 million.
Following the settlement, 21st Century Fox released the following statement.
“21st Century Fox is pleased to announce that it has settled Gretchen Carlson’s lawsuit,” Fox’s statement began. “During her tenure at Fox News, Gretchen exhibited the highest standards of journalism and professionalism. She developed a loyal audience and was a daily source of information for many Americans. We are proud that she was part of the Fox News team. We sincerely regret and apologize for the fact that Gretchen was not treated with the respect and dignity that she and all of our colleagues deserve.”
Carlson has also issued a statement.
“I am gratified that 21st Century Fox took decisive action after I filed my Complaint,” her statement began. “I’m ready to move on to the next chapter of my life in which I will redouble my efforts to empower women in the workplace. I want to thank all the brave women who came forward to tell their own stories and the many people across the country who embraced and supported me in their #StandWithGretchen. All women deserve a dignified and respectful workplace in which talent, hard work and loyalty are recognized, revered and rewarded.”
Carlson, 50, had previously alleged that her former employer “Ailes has unlawfully retaliated against Carlson and sabotaged her career because she refused sexual advances and complained about severe and pervasive sexual harassment.”
Following the release of the New York Magazine interview, Ailes’ outside legal counsel Barry Aspen released a statement to PEOPLE: “It has become obvious that Ms. Carlson and her lawyer are desperately attempting to litigate this in the press because they have no legal case to argue. The latest allegations, all 30 to 50 years old, are false.”
Carlson’s lawyer then reacted with a statement of their own saying, “Women have the right to speak out – whether Ailes likes it or not – even about trauma they endured years ago and that haunts them to this day. Calling these women liars because they chose to speak out is despicable. Bullying and threats will not silence these brave women.”