Oracle Case Highlights Double Whammy Facing Tech Contractors

Federal contractors that employ large numbers of foreign workers might be opening themselves up to a double whammy of Labor Department discrimination claims.

Tech conglomerate Oracle America finds itself in just such a scenario. It was hit with allegations it underpaid women and minority workers and showed a preference for hiring certain visa-holders. Those allegations came in ongoing litigation with the DOL’s Office of Federal Contract Compliance Programs, a relatively obscure agency that conducts discrimination audits of government contractors. Cisco Systems Inc. reportedly faces similar claims, and more tech companies could be on the radar.

“OFCCP seems to have ...