Chapter 2 Equal Opportunity and the law
(Environment and Laws)
1.
2.
3.
4.
5.
Introduction
External Environment
Internal Environment
Human Factors
Summary
Equal Opportunity and the law
Behavioral Objectives
When you finish studying this chapter, you should be
able to:
Summarize the basic Equal Employment Opportunity
laws regarding age, race, sex, national origin, religion,
and handicap discrimination.
Explain the basic defenses against discrimination
allegations.
Present a summary of what employers can and
cannot do with respect to illegal recruitment,
selection, and promotion and layoff practices.
Explain how to set up an affirmative action program.
Chapter Outline
 Introduction
 Equal Employment Opportunity 1964-1991
 Equal Employment Opportunity 1991-present
 Defenses Against Discrimination Allegations
 Illustrative
Discriminatory
Employment
Practices
 The EEOC Enforcement Process
 Diversity Management and Affirmative Action
Programs
Key Words:
Title VII of the 1964 Civil Rights Act
The section of the act that says an employer cannot
discriminate on the basis of race, color, religion, sex,
or national origin with respect to employment.
Equal Employment Opportunity Commission
(EEOC)
The commission, created by Title VII, is empowered
to investigate job discrimination complaints and sue
on behalf of complainants.
Key Words:
affirmative action
Steps that are taken for the purpose of
eliminating the present effects of past
discrimination.
Office of Federal Contract Compliance
Programs (OFCCP)
This office is responsible for implementing the
executive orders and ensuring compliance of
federal contractors.
Key Words:
Equal pay Act of 1963
The act requiring equal pay for equal work,
regardless of sex.
Age Discrimination in Employment Act of
1967
The
act
prohibiting
arbitrary
age
discrimination and specifically protecting
individuals over 40 years old.
Key Words:
Vocational Rehabilitation Act of 1973
The act requiring certain federal contractors
to take affirmative action for disabled persons.
Vietnam Era Veterans’ Readjustment Act
of 1974
An act requiring that employers with
government contracts take affirmative action
to hire disabled veterans.
Key Words:
Pregnancy Discrimination Act (PDA)
An amendment to Title VII of the Civil Rights Act that
prohibits sex discrimination based on “pregnancy,
childbirth, or related medical conditions.”
Federal agency guidelines
Guidelines issued by federal agencies charged with
ensuring compliance with equal employment federal
legislation explaining recommended employer
procedures in detail.
Key Words:
Griggs v.The Duke Power Company
Case heard by the Supreme Court in which the
plaintiff argued that his employer’s requirement
that coal handlers be high school graduates
was unfairly discriminatory. In finding for the
plaintiff, the Court ruled that discrimination
need not be overt to be illegal, that
employment practices must be related to job
performance, and that the burden of proof is
on the employer to show that hiring standards
are job related.
Key Words:
sexual harassment
Harassment on the basis of sex that has the
purpose or effect of substantially interfering with a
person’s work performance or creating an
intimidating, hostile, or offensive work environment.
Meritor Savings Bank, FSB v. Vinson
U.S. Supreme Court’s first decision on sexual
harassment holding that existence of a hostile
environment even without economic hardship is
sufficient to prove harassment, even if participation
was voluntary.
Key Words:
protected class
Persons such as minorities and women
protected by equal opportunity laws including
Title VII.
Albemarle Paper Company v.Moody
Supreme Court case in which it was ruled that
the validity of job tests must be documented
and that employee performance standards
must be unambiguous.
Key Words:
Wards Cove v.Atonio
U.S. Supreme Court decision that makes it
difficult to prove a case of unlawful
discrimination against an employer.
Civil Rights Act of 1991 (CRA 1991)
It places burden of proof back on employers
and permits compensatory and punitive
damages.
Key Words:
Americans with Disabilities Act (ADA)
The act requiring employers to make reasonable
accommodations for disabled employees, it
prohibits discrimination against disabled persons.
adverse impact
The overall impact of employer practices that
result in significantly higher percentages of
members of minorities and other protected groups
being rejected for employment, placement, or
promotion.
Key Words:
disparate rejection rates
One test for adverse impact in which it can be
demonstrated that there is a discrepancy between
rates of rejection of members of a protected group
and of others.
restricted policy
Another test for adverse impact, involving
demonstration that an employer’s hiring practices
exclude a protected group, whether intentionally or
not.
Key Words:
Bona fide occupational qualification (BFOQ)
Requirement that an employee be of a certain
religion, sex, or national origin where that is
reasonably necessary to the organization’s normal
operation. Specified by the 1964 Civil Rights Act.
business necessity
Justification for an otherwise discriminatory
employment practice, provided there is an
overriding legitimate business purpose.
Key Words:
good faith effort strategy
Employment strategy aimed at changing practices
that have contributed in the past to excluding or
underutilizing protected groups.
quota strategy
Employment strategy aimed at mandating the same
results as the good faith effort strategy through
specific hiring and promotion restrictions.
Reverse discrimination
Claim that due to affirmative action quota systems,
white males are discriminated against.
2. External Environment
(1) Legal environment: laws and regulations
(2) Economic environment: economic
development, competition and labor market
(3) Social environment: family, social norms and
values, life style and income level.
(1) Legal environment: laws and regulations
A. The Constitution (1982)
 All citizens of the People’s Republic of China have
the right and obligation to work.
 Training and performance appraisal.
 Employment issues
 Work and rest
 Retirement issues
 Social security and medical care
 Equal treatment of men and women
B. Labor Law of the People’s Republic of
China (1994)
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
General principles
Promotion of employment
Labor contract and collective contract
Work time, breaks and holidays
Wages
Labor safety and health
Protection of female and non-adult workers
Occupational training
Social security and benefits
Labor disputes
Supervision
Legal obligations
Attachment
C. Local laws and regulations

(1)
(2)

(1)
(2)
(3)
Laws and regulations promulgated by the
People’s Congress of provinces and
municipalities.
They must be consistent with the Labor Law of
China.
Usually concerning employment, minimum wages
and equal treatment.
Laws and regulations promulgated by the Ministry
of Labor and other government departments.
Used to be numerous and contradictory.
Subordinate to the Labor Law of China.
Regulations issued by the Ministry of Labor-for
executing the Labor Law.
(2) Economic environment
A. Economic development:
Affect job redesign, employment, training and
wages.
B. Industrial competition:
Affect employment, performance appraisal,
career development and wages.
C. Labor marker:
Affect employment, training, career
development and wages.
D. Globalization and work force diversity.
(3) Social environment
A.
B.
C.
D.
Social norms and values
Family
Life style and income level
Cross-cultural communication
2. Internal Environment
(1) Organization goals
(2) Management systems and Leadership
styles
(3) Job characteristics
(4) Work groups
(5) Corporate culture and identity
(1) Organization goals
 Organization goals are the objectives set by
the organization management, which
determines the HRM policies and activities of
an organization.
 Priority of goals: which goal is most important?
 Conflicts of organization goals and employee
needs—effects motivation.
 Adjusting individual needs to organization goals.
(2) A. Management systems
 Bureaucratic management: centralized,
hierarchi-cal, emphasis on chains of command.
 Democratic management: decentralized, flat,
emphasis on autonomy and participation.
 Worker participation: a key issue in motivating
employees.
 Control and supervision: necessary for
management but may result in conflicts.
B. Leadership styles
 Fieldler’s contingency theory: task-oriented
vs. relationship-oriented.
 The path-goal theory (House & Dessler):
-- The directive leader: Autocratic.
-- The supportive leader: Democratic.
-- The participative leader: Highly democratic.
-- The achievement-oriented leader: Highly
demanding on subordinates.
(3) Job characteristics
 Job characteristics refer to a number of factors
such as physical and mental abilities, knowledge
and skills, working conditions, job scope, and
communications that are related to a job.
 Job characteristics are the results of job design
which may affect employee motivation.
 Job characteristics are what we need to study in
job analysis and redesign.
(4) Work groups
 Work groups refer to the forming of people into
units for performing a task.
 Permanent groups and task groups.
 Formal groups and informal groups.
 Group coherence and its effects on productivity
and employee motivation.
 How to develop efficient work groups: voluntary
grouping vs. task group.
(5) Corporate culture and identity
 Corporate culture refers to the norms, values and
accepted behavior formed in an organization over
time. Corporate culture can be explicit and implicit.
 Corporate identity refers to the image of an
organization in its consumers and the society it
operates in.