Dell EMC has been ordered to pay millions of dollars in back pay after a US Department of Labor (DOL) investigation alleged pay discrimination at its California and North Carolina campuses.
As part of its conciliation agreement with the DOL’s Office of Federal Contract Compliance Programs, Dell EMC, Dell’s infrastructure business, denied liability but said it would pay more than US$2.9 million in back pay and interest to the affected employees. The company also agreed to make pay adjustments and take steps to ensure its pay practices meet legal requirements, according to BizJournals.
In North Carolina, pay discrimination was alleged at both Dell EMC’s Durham and Apex campuses, affecting 458 employees in all. African-Americans and women were said to be paid less in engineering and manufacturing roles than their white male counterparts.
In a statement, a Dell spokeswoman said the company had a "long-held commitment to pay equity. This matter resolves longstanding audits involving EMC prior to the merger with Dell, and has no relation to current Dell pay practices and policies".
When EMC was bought by Dell in 2016, chief executive Michael Dell said the North Carolina operation would continue to be “significant” for the company. “Those are important teams and definitely part of the company’s future,” he said at the time.
Emma Woollacott is a freelance business journalist. Her work has appeared in a wide range of publications, including the Guardian, the Times, Forbes and the BBC.
Dell EMC has been ordered to pay millions of dollars in back pay after a US Department of Labor (DOL) investigation alleged pay discrimination at its California and North Carolina campuses.
As part of its conciliation agreement with the DOL’s Office of Federal Contract Compliance Programs, Dell EMC, Dell’s infrastructure business, denied liability but said it would pay more than US$2.9 million in back pay and interest to the affected employees. The company also agreed to make pay adjustments and take steps to ensure its pay practices meet legal requirements, according to BizJournals.
In North Carolina, pay discrimination was alleged at both Dell EMC’s Durham and Apex campuses, affecting 458 employees in all. African-Americans and women were said to be paid less in engineering and manufacturing roles than their white male counterparts.
In a statement, a Dell spokeswoman said the company had a "long-held commitment to pay equity. This matter resolves longstanding audits involving EMC prior to the merger with Dell, and has no relation to current Dell pay practices and policies".
When EMC was bought by Dell in 2016, chief executive Michael Dell said the North Carolina operation would continue to be “significant” for the company. “Those are important teams and definitely part of the company’s future,” he said at the time.
Emma Woollacott is a freelance business journalist. Her work has appeared in a wide range of publications, including the Guardian, the Times, Forbes and the BBC.
