DOL OFCCP Against Oracle

Back during the Obama administration, the Dept. of Labor’s Office of Federal Contract Compliance Programs starting bring suits against some major tech industry players regarding various discrimination charges, in many cases related to the H-1B work visa. Remarkably, OFCCP has been able to continue this work under the Trump administration. Their latest move is even more remarkable. Some excerpts from the article:

…[OFCCP now accuses Oracle of] favoring recruitment of Indian workers in the country on visas so it could suppress their wages…

The company “preferred Asian recent college and university graduates to all others,” the OFCCP charges. To back that claim it offered this statistic: of some 500 hires of recent grads between 2013 and 2016, 90 percent were Asian.

The population of recent grads Oracle would be targeting based on their relevant studies and the type of available positions is 65 percent Asian, by contrast, the complaint states.

Making matters worse, for several years Oracle didn’t hire a single black or Hispanic recent graduate.

The preference for hiring Asians is even more pronounced among those working in the country on Visas.

That includes a program within Oracle that looks to hire a set number of graduates every year from Indian academic institutions, the complaint states.

Because those people are dependent on Oracle to work in the U.S., their wages are easier to suppress.

DOL’s view of H-1B has oscillated heavily over the years, from one administration to another. In fact, Bill Clinton’s first Sec. of Labor Robert Reich himself has oscillated over time in this regard. To see OFCCP’s actions has been both surprising and gratifying.

You can read my previous posts on OFCCP (I have been slightly involved) here and here. By contrast, EEOC has been profoundly disappointing, due I believe to severe bias in its director.

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10 thoughts on “DOL OFCCP Against Oracle

  1. Quote: When the lawsuit was initiated, an Oracle representative said the complaint was “politically motivated.”

    ???

    Anyone care to fill in the blanks, on how the original Complaint filed against Oracle was supposedly “politically motivated” ?

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  2. It’s nice the US govt has finally realized what has been happening for decades. The next big scandal will come when they start to examine the credentials of all those Indian H1B workers. The fake degree machine has been running full force forever as well. It seems the UK and the Middle Eastern employers have finally started checking up on what they are really paying for and who they are letting in to their countries.

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  3. From the CRN link, “Because those people are dependent on Oracle to work in the U.S., their wages are easier to suppress.”

    I thought that H-1B workers could change employers. The indentured servitude argument does not appear to hold water.

    A paper by Ron Hira shows the Immigration Yield (Immigration Yield = Green Card Applications/ New H-1B Workers). Infosys comes in at 16%, IBM at 11%, and almost all the others come in at less than 5%. It’s hard to imagine that a guest worker would put up with low pay or a high work load for a low chance of getting a Green Card.

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    • Once again, people fail to understand the difference between the “Intels” and the “Infosyses.” Ron’s paper, as you see, uses the term “Offshoring Business Model,” meaning the Infosyses.

      The Intels, e.g. Oracle, generally apply for green cards for their H-1Bs. So if a worker is not already being sponsored by the employer, there is a good chance that they WILL be. That would make them reluctant to change employers.

      BTW, for the Infosyses, my guess is that there is blacklisting going on. An H-1B would have the right to change to a new employer, but it may be that no one wants him.

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