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Oracle Defeats Labor Department’s $400 Million Pay Bias Claims

Sept. 23, 2020, 2:10 AM

Oracle America Inc. didn’t systemically discriminate against women and minorities in pay, a Labor Department administrative law judge ruled in a case that likely will have repercussions on the agency’s efforts to combat compensation bias in the tech sector.

Administrative Law Judge Richard M. Clark’s recommended decision and order Tuesday concludes, for now, years of contentious litigation between the Labor Department and Oracle. The DOL’s Office of Federal Contract Compliance Programs audited the Redwood City, Calif.-based technology company in 2014 and sued it in 2017, alleging that Oracle owed women and minorities $400 million in unpaid wages.

The OFCCP routinely and randomly audits federal contractors for compliance with equal employment opportunity and anti-discrimination obligations. Labor Department attorneys said Oracle holds at least $100 million in federal contracts annually.

OFCCP can appeal the judge’s decision to the DOL’s Administrative Review Board.

The case is OFCCP v. Oracle Am., Inc., Dep’t of Labor A.L.J., No. 2017-OFC-00006, recommended decision & order 9/22/20.

To contact the reporter on this story: Paige Smith in Washington at psmith@bloomberglaw.com

To contact the editors responsible for this story: Jay-Anne B. Casuga at jcasuga@bloomberglaw.com; Martha Mueller Neff at mmuellerneff@bloomberglaw.com

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