Oracle America Inc. underpaid its female and nonwhite workers by more than $400 million over four years, the U.S. Department of Labor’s federal contractor watchdog charged recently in an expanded complaint in the two-year-old bias suit.
The agency’s Office of Federal Contract Compliance Programs (OFCCP) said an analysis of Oracle pay data shows it shorted thousands of females, black, and Asian workers by as much as five figures relative to their white colleagues each year from 2013 through 2016. The company also unfairly passes over non-Asian job applicants, particularly Hispanic and black applicants, the OFCCP said.
“OFCCP brings this action to end that discrimination,” the office said. “OFCCP seeks to compel Oracle to honor the agreement it made to provide equal employment opportunity when it accepted more than 100 million dollars annually from taxpayers. This court should require Oracle to pay its injured employees and applicants for employment for their lost wages and to correct its discriminatory compensation and hiring practices.”
The complaint, which the agency said is based on data Oracle disclosed in October and November 2017, alleges that Oracle depresses pay for female and nonwhite workers by assigning them to low-level positions with low starting salaries. Those initial gaps compound over the years, culminating in “female, black and Asian employees with years of experience [being] paid as much as 25 percent less than their peers,” the Department of Labor said.
The complaint includes tables of DOL analysis detailing the alleged pay gaps between Oracle’s female and nonwhite workers and their contemporaries in different job
classifications. On the extreme end, the tables show women on one job track lost out on an average of about $37,000 per year relative to their peers in 2016. Asian and black workers earned between $6,000 to about $14,500 less per year on average than their peers in the years covered by the suit, the agency said. Overall, those workers lost out on $401 million in pay between 2013 and 2016.
The case is OFCCP v. Oracle America Inc., case number 2017-OFC-00006, before the U.S. Department of Labor Office of Administrative Law Judges.