Skip to main content

Oracle slammed for underpaying women and minorities

(Image credit: Image Credit: Ken Wolter / Shutterstock)

Oracle has been accused of paying women and minorities less than other employees for the same work.

According to the US Labor Department the company also prioritised hiring workers that it could later discriminate against and pay less than what’s deserving for the work. All of this amounts to some $400 million that the company ‘saved’ on these workers.

According to a Bloomberg (opens in new tab) report, this is what Labor Department attorney Laura Bremer told an administrative law judge: “Oracle has continued to systemically discriminate against employees and applicants based on gender and race.”

The Department of Labor believes there seem to be two reasons behind this. One stems from the fact that Oracle uses previous employment to determine its employees’ starting salaries. The other one stems from the fact that Oracle uses a recent college graduate hiring program to bring in Asian visa holders. These are more susceptible to being paid less, the DOL argues.

Oracle “impermissibly denies equal employment opportunity to non-Asian applicants for employment, strongly preferring a workforce that it can later underpay,” Bremer said. “Once employed, women, blacks, and Asians are systematically underpaid relative to their peers.”

The new complaint builds, in part, upon a lawsuit from 2017, which said (opens in new tab) Oracle ‘systematically paid white male workers more than their peers who were women or people of colour’. Oracle denied the allegations.

Image Credit: Ken Wolter / Shutterstock

Sead Fadilpašić
Sead Fadilpašić

Sead Fadilpašić is a freelance tech writer and journalist with more than 17 years experience writing technology-focussed news, blogs, whitepapers, reviews, and ebooks. And his work has featured in online media outlets from all over the world, including Al Jazeera Balkans (where he was a Multimedia Journalist), Crypto News, TechRadar Pro, and IT Pro Portal, where he has written news and features for over five years. Sead's experience also includes writing for inbound marketing, where he creates technology-based content for clients from London to Singapore. Sead is a HubSpot-certified content creator.