Days after Google proudly congratulated itself on Twitter for closing the gender pay gap globally, the Department of Labor accused the company of “systemic compensation disparities” in pay “pretty much across the entire workforce.” In vehement denial of these accusations, Google has stated that in conducting its relevant annual analysis, it has not found any evidence of such a pay gap. Despite the tech titan’s denial, the explosive allegations leave Google vulnerable to penalties and lawsuits claiming the company engages in gender discrimination and at the same time, raises questions about the clarity of the Equal Pay Act.

The case was initially prompted by Google’s refusal to turn over certain employee compensation information for an audit in late 2015, citing privacy reasons. The Department of Labor is now moving to compel Google to produce this same salary information. While the Department of Labor has not yet disclosed how it reached its allegations, their findings will undoubtedly open the door to further scrutiny of Google, other big tech companies and potential penalties and civil liability. In light of a spate of recent discrimination lawsuits brought against Silicon Valley companies, it seems likely that former and current female Google employees will bring a class action lawsuit against Google.

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