An oil balancing system for a multiple compressor system is provided. The oil balancing system includes an oil equalization line disposed between a first compressor and a second compressor. A first solenoid valve is provided in the oil equalization line. A first signal corresponds to a first oil level in the first compressor. A second signal corresponds to a second oil level in the second compressor. An oil balancing module uses the first signal and the second signal to diagnose an oil imbalance between the first compressor and the second compressor, and applies corrective action, whereby the corrective action includes sending control signals to operate at least one of the first compressor, the second compressor, or the first solenoid valve in a way that eliminates the oil imbalance.