The U.S. Labor Department Claims Oracle for Underpaying Women and Minorities

The U.S. Labor Department Claims Oracle for Underpaying Women and Minorities

Business

Oracle has reportedly refused to give $400 million in wages from racially underrepresented workers including women. The U.S. Labor Department claimed Oracle of wage inequality practices that cost female and minority workers. According to a new federal filing Tuesday, the affected workgroup includes thousands of women, black, Latin, and Asian employees. The software maker is being accused by U.S. government regulators for the discriminatory practices. The charges surfaced Tuesday filing made in a two-year-old case that is being followed by the U.S. Department of labor. The complaint claims that Oracle makes partiality in its employees at the company. It assigns low-level jobs and low initial salary to this group of employees.

The Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP) is the office within the Department of Labor that imposes equal pay. It also ensures whether government contractors are following anti-discrimination rules or not. The new complaint raises upon a 2017 lawsuit the OFCCP filed in 2017 claiming Oracle. According to the complaint, the company paid more to the white male employees than minorities and women. The lawsuit also alleges Oracle gives higher priority to hire Asians who are fresh graduates. The DOL also says that 90% of the employees hired between 2013 and 2016 were Asian. The new case alleges Oracle paid $13000 less to women as compared to men in comparable jobs. Analysts retrieved the information from Oracle’s pay data.

The document states Oracle paid very less to more than 1,200 female workers by $165 million. It estimates 2,700 Asian employees underpaid by $234 million. The OFCCP points towards the fact Oracle disfavor against color of people, Asian and female employees. The office also claims Oracle differentiate against those who have visas, often assigning them low-level jobs. The complaint goes on to blame the software maker of not cooperating with the inquiry. It accuses Oracle destroyed records relating to its hiring process as the case continued.

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