SAN FRANCISCO – The U.S. Department of Labor has filed a lawsuit against Oracle America, Inc. alleging the leading technology company has a systemic practice of paying Caucasian male workers more than their counterparts in the same job title, which led to pay discrimination against female, African American and Asian employees. The suit also challenges Oracle’s systemic practice of favoring Asian workers in its recruiting and hiring practices for product development and other technical roles, which resulted in hiring discrimination against non-Asian applicants.
Oracle designs, manufactures, and sells software and hardware products, as well as offers services related to its products to the federal government.
The lawsuit filed by the department’s Office of Federal Contract Compliance Programs is the result of an OFCCP compliance review of Oracle’s equal employment opportunity practices at its Redwood Shores headquarters. During the investigation – which began in 2014 – Oracle also refused to comply with the agency’s routine requests for employment data and records. For example, Oracle refused to provide prior-year compensation data for all employees, complete hiring data for certain business lines, and employee complaints of discrimination. OFCCP attempted for almost a year to resolve Oracle’s alleged discrimination violations before filing the suit.
Oracle has received hundreds of millions in federal government contracts. As a federal contractor, Oracle is prohibited from engaging in employment discrimination on the basis of race, color, sex, sexual orientation or gender identity or national origin and is required to take affirmative action to ensure that equal employment opportunity is provided to applicants and employees in all aspects of employment. If Oracle fails to provide relief as ordered in the lawsuit, OFCCP requests that all its government contracts be canceled and that it be debarred from entering into future federal contracts.
“Federal contractors are required to comply with all applicable anti-discrimination laws,” said OFCCP Acting Director Thomas M. Dowd. “We filed this lawsuit to enforce those requirements.”
Filed with the Office of Administrative Law Judges, the complaint asks the court to enjoin Oracle permanently from discriminating against females, African Americans and Asians in compensation practices and against African American, Hispanic and Caucasian applicants in hiring practices. OFCCP is also seeking complete relief for the affected class including lost wages, stock, interest, front wages, salary adjustments, promotions and all other lost benefits of employment and a reform of discriminatory policies.
OFCCP enforces Executive Order 11246, Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans’ Readjustment Assistance Act of 1974. These laws, as amended, make it illegal for contractors and subcontractors doing business with the federal government to discriminate in employment because of race, color, religion, sex, sexual orientation, gender identity, national origin, disability or status as a protected veteran. In addition, contractors and subcontractors are prohibited from discriminating against applicants or employees because they have inquired about, discussed or disclosed their compensation or that of others, subject to certain limitations. For more information, please call OFCCP’s toll-free helpline at 800-397-6251 or visit http://www.dol.gov/ofccp/.