© 2003 Prentice Hall, Inc. 2-1 Chapter 2 Equal Opportunity and the Law Instructor presentation questions: docwin@tampabay.rr.com © 2003 Prentice Hall, Inc. 2-2 Outline of Chapter 2 Equal Employment Opportunity 1963 to 1991 Title VII of the 1964 Civil Rights Act Executive Orders Equal Pay Act of 1963 Age Discrimination in Employment Act of 1967 Vocational Rehabilitation Act of 1973 © 2003 Prentice Hall, Inc. 2-3 Outline of Chapter 2 Equal Employment Opportunity 1963 to 1991 Vietnam era Veterans’ Readjustment Assistance Act 1974 Pregnancy Discrimination Act of 1978 Federal agency guidelines Sexual harassment Early court decisions regarding Equal Employment Opportunity Equal Employment Opportunity 1989-1991: A shifting Supreme Court © 2003 Prentice Hall, Inc. 2-4 Outline of Chapter 2 Equal Employment Opportunity 1991 to present The Civil Rights Act of 1991 The New Workplace: Enforcing the 1991 CRA Abroad The Americans with Disabilities Act State and Local Equal Employment Opportunity Laws © 2003 Prentice Hall, Inc. 2-5 Outline of Chapter 2 Defenses Against Discrimination Allegations Adverse Impact Bona Fide Occupational Qualification Business necessity Other considerations in discriminatory practices defense © 2003 Prentice Hall, Inc. 2-6 Outline of Chapter 2 Some Discriminatory Employment Practices Discriminatory recruitment practices Discriminatory selection standards Sample discriminatory promotion, transfer and layoff practices © 2003 Prentice Hall, Inc. 2-7 Outline of Chapter 2 The EEOC Enforcement Process Processing a charge Conciliation proceedings How to respond to employment discrimination charges Mandatory arbitration of discrimination claims © 2003 Prentice Hall, Inc. 2-8 Outline of Chapter 2 Diversity Management and Affirmative Action Programs Managing Diversity Strategic HR: Longo Toyota Boosting Workforce Diversity Equal Employment Opportunity versus Affirmative Action Affirmative Action: Two Basic Strategies HR.net: Recruiting minorities online 2-9 © 2003 Prentice Hall, Inc. What You Should Be Able to Do Avoid employment discrimination problems. Cite the main features of at least five employment discrimination laws. Define adverse impact and explain how it is proved and what its significance is. 2-10 © 2003 Prentice Hall, Inc. What You Should Be Able to Do Cite specific discriminatory personnel management practices in recruitment, selection, and promotion, transfer, layoffs, and benefits. Explain and illustrate two defenses you can use in the event of discriminatory practice allegations. Define and discuss diversity management. © 2003 Prentice Hall, Inc. 2-11 First Equal Employment Action Title VII of the 1964 Civil Rights Act Prevents discrimination Established the Equal Employment Opportunity Commission (EEOC) Covers all employers with 15 or more persons Includes private and public schools, state, local and federal governments 2-12 © 2003 Prentice Hall, Inc. Other Early Employment Actions Executive Orders Equal Pay Act of 1963 Age Discrimination in Employment Act of 1967 Vocational Rehabilitation Act of 1973 © 2003 Prentice Hall, Inc. 2-13 Other Early Employment Actions Vietnam Era Veterans’ Readjustment Assistance Act of 1974 Pregnancy Discrimination Act of 1978 Federal Agency Guidelines © 2003 Prentice Hall, Inc. 2-14 Federal Employment Actions 19631991 1963 Executive Order 11246 1963 Equal Pay Act 1964 Civil Rights Act 1967 Age Discrimination Act 1969 1973 1974 1978 1980 1989-1991 Executive Order 11375 Vocational Rehabilitation Act Vietnam Era Veterans’ Readjustment Act Pregnancy Discrimination Act EEOC guidelines Supreme Court Rulings 2-15 © 2003 Prentice Hall, Inc. 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. © 2003 Prentice Hall, Inc. 2-16 Sexual Harassment Employers have a duty to keep workplace free of sexual harassment and intimidation Sexual harassment can be shown in three ways Quid Pro Quo Hostile environment created by supervisors Hostile environment created by co-workers or non-employees © 2003 Prentice Hall, Inc. 2-17 What’s an Employer to Do? Two questions are asked by the courts when determining liability: 1. Did the company know or should it have known that harassment was present? 2. Did the company take any action to stop the harassment? 2-18 Treat complaints seriously Condemn behavior Inform employees Develop complaint procedure Establish a response system © 2003 Prentice Hall, Inc. Increase supervisors awareness Discipline Keep records Conduct exit interviews Publish policy Encourage upward communication 2-19 © 2003 Prentice Hall, Inc. Sample Sexual Harassment Policy © 2003 Prentice Hall, Inc. 2-20 What’s an Employee to Do? File verbal complaint File a written report Turn to local EEOC office to file a complaint Consult legal counsel 2-21 © 2003 Prentice Hall, Inc. Sexual Violence Federal Violence Against Women Act of 1994 Avenue to seek relief for violent sexual harassment. © 2003 Prentice Hall, Inc. 2-22 Landmark Court Rulings Griggs v. Duke Power Company Discrimination by the employer need not be overt. Employment practice must be job related Placed the burden of proof on the employer 2-23 © 2003 Prentice Hall, Inc. Albemarle Paper Company v. Moody Validity of job tests must be documented Performance standards must be unambiguous. © 2003 Prentice Hall, Inc. 2-24 Equal Employment Opportunity 1989 - 1991 Wards Cove Packing Company v. Atonio Business necessity Justification for an otherwise discriminatory employment practice, provided there is an overriding legitimate business purpose. © 2003 Prentice Hall, Inc. 2-25 Equal Employment Opportunity 1991 - Present Civil Rights Act of 1991passed in response to several court cases which had limited protection under EEO law Burden of proof Money damages Mixed motives Proof of discrimination Global reach © 2003 Prentice Hall, Inc. 2-26 Americans With Disabilities Act (ADA) A physical or mental impairment that substantially limits a major life activity Includes physiological conditions, cosmetic disfigurement and loss of any body systems Does not count alternate lifestyle, gambling, pyromania, or illegal drug use © 2003 Prentice Hall, Inc. 2-27 ADA Qualified individuals: Protected from discrimination if reasonable accommodation allows performance of essential job functions Reasonable accommodation: redesigning a job modifying schedules modifying equipment Mental impairments: Any mental or psychological disorder Americans with Disabilities website © 2003 Prentice Hall, Inc. 2-28 What’s an Employer to Do? Can an employer: Deny a disabled person a job? Be mandated to lower its existing uniform job standards? Ask about disabilities prior to hiring? Have different medical exams for current employees versus disabled employees? © 2003 Prentice Hall, Inc. 2-29 ADA in Practice Employers should ask: Does the employee have a disability that limits a major life activity? Is a disabled employee qualified for a job? Can the employee perform the essential functions of a job? Can any reasonable accommodation be provided without creating undue hardship on the employer? Is the disability permanent ? 2-30 © 2003 Prentice Hall, Inc. State and Local EEO Laws Local laws usually extend or expand federal laws Most states require EEO laws of businesses with fewer than 15 people Some afford age discrimination laws to young people EEOC often starts process by deferring to state Human Resources Commissions © 2003 Prentice Hall, Inc. 2-31 Summary of Important EEO Actions Action What it does Title VII of 1964 Civil rights act Bars discrimination due to race, color, religion, sex, or national origin Executive orders End discrimination on federal contracts. Establish office of federal compliance Federal agency guidelines Create policy on discrimination based on sex, national origin and religion Case Griggs v. Duke Job requirements based on job success © 2003 Prentice Hall, Inc. 2-32 Summary of Important EEO Actions Action What it does Case Albemarle v. Moody Burden of proof shifts to employer when showing qualification is valid Equal Pay Act of 1963 Equal pay for men and women doing same work Age Discrimination in Employment of 1967 Protects a person 40 or over from age discrimination State and local laws Cover small employers © 2003 Prentice Hall, Inc. 2-33 Summary of Important EEO Actions Action What it does Vocational Rehabilitation Act of Require affirmative action to 1973 employ and promote qualified handicapped persons Pregnancy Discrimination Act of 1978 Prohibits discrimination against pregnant women Vietnam Era Veterans Readjustment Assistance Act of 1974 Require affirmative action in employment for veterans © 2003 Prentice Hall, Inc. 2-34 Summary of Important EEO Actions Action What it does Case Ward Cove v. Atonio Harder to prove unlawful discrimination against an employer Case Price Waterhouse v. Hopkins Unlawful actions not always discriminatory if lawful action results in same decision Americans with Disabilities Act of 1990 Employers need to make reasonable accommodations for disabled individuals Civil Rights Act of 1991 Reverses earlier cases and puts burden of proof on employer © 2003 Prentice Hall, Inc. 2-35 Defenses Against Discrimination Allegations Law differentiates disparate treatment and disparate impact Disparate treatment A protected group was intentionally treated differently Disparate impact Employer engages in a practice that has a greater adverse impact on members of a protected group regardless of intent 2-36 © 2003 Prentice Hall, Inc. How to Show Adverse Impact Adverse impact plays a central role Disparate rejection rates Restricted policy Population comparisons McDonnell-Douglas test 2-37 © 2003 Prentice Hall, Inc. What’s an Employer to Do? Two main defenses BFOQ - Bona fide occupational qualification Business necessity 2-38 © 2003 Prentice Hall, Inc. Other Considerations Good intentions Collective bargaining agreements Different responses © 2003 Prentice Hall, Inc. 2-39 Discriminatory Employment Practices Recruitment practices Word of mouth Misleading information Help wanted gender ads © 2003 Prentice Hall, Inc. 2-40 Discriminatory Employment Practices Selection standards Educational requirements Tests which disproportionately screen minorities Preference to relatives Physical characteristics requirements Arrest records Certain personal information Discharge due to garnishment © 2003 Prentice Hall, Inc. 2-41 Discriminatory Promotion, Transfer, and Layoff Practices Employers can require conservative style dress codes… As well as a specific hair style or appearance © 2003 Prentice Hall, Inc. 2-42 EEOC Enforcement Process • Charge filed within 2 years of incident • In writing, under oath • EEOC serves notice and investigates Dismiss case & issue right to sue Attempt conciliation © 2003 Prentice Hall, Inc. 2-43 EEOC Case Types FY 2000 77% 8% 9% 1% 5% Title VII ADA ADEA EPA Concurrent 2-44 © 2003 Prentice Hall, Inc. Questions to Ask When an Employer Receives a Complaint 1. To what protected group does the worker belong? Protected by more than one statute? 2. Would the action complained of have been taken if the worker were not a member of a protected group? Is the action having an adverse impact on other members of a protected group? 3. Is the employee’s charge of discrimination subject to attack because it was not filed on time, according to the applicable law? 4. In the case of a sexual harassment claim, are there offensive posters or calendars on display? 2-45 © 2003 Prentice Hall, Inc. Questions to Ask When an Employer Receives a Complaint 5. Do the employee’s personnel records demonstrate discriminatory treatment in the form of unjustified warnings and reprimands? 6. In reviewing the nature of the action complained of, can it be characterized as disparate impact or disparate treatment? Can it be characterized as an individual complaint or a class action? 7. What are the company’s probable defenses and rebuttal? 8. Who are the decision makers involved, and what would they be effective witnesses? 9. What are the prospects for a settlement of the case that would be satisfactory to all involved? © 2003 Prentice Hall, Inc. 2-46 How a Company Responds to an EEOC Charge Remember the EEOC are not judges Provide a detailed statement describing the firm’s defense in its most persuasive light Supply only information raised by the charge itself Gather as much information about the claim as possible so you understand what its all about © 2003 Prentice Hall, Inc. 2-47 How an EEOC Investigation Proceeds EEOC fact finding conference Determination and attempted conciliation Voluntary mediation 10% of the time this is the EEOC recommendation Mandatory mediation Litigation 2-48 © 2003 Prentice Hall, Inc. Mandatory Arbitration of Discrimination Claims Review all employment discrimination suits filed against them Consider inserting a mandatory arbitration clause Institute steps to protect against arbitrator bias © 2003 Prentice Hall, Inc. 2-49 Diversity Works race race gender gender handicap handicap culture culture national nationalorigin origin age age 2-50 © 2003 Prentice Hall, Inc. Voluntary Diversity Organizational Steps Provide strong leadership Asses the situation Provide diversity training and education Change culture and management systems Evaluate the managing diversity program © 2003 Prentice Hall, Inc. 2-51 Why Workplace Diversity Is Strategic Better business decisions Handling challenges Company growth Globalization © 2003 Prentice Hall, Inc. 2-52 How to Encourage Diversity Written philosophy Evaluate Recruit Interact with representative minority groups and networks Voluntary affirmative action © 2003 Prentice Hall, Inc. 2-53 Two Useful Strategies in Affirmative Action Design Good faith effort Quota strategy As vice president of global workforce diversity for IBM Corp, Ted Childs is responsible for the company’s workforce diversity programs and policies. © 2003 Prentice Hall, Inc. 2-54 Useful Strategies in Affirmative Action Day care service with flexible work hours Diversity candidate resource website 2-55 © 2003 Prentice Hall, Inc. Things to Remember As We Move Into Chapter 3 Title VII of 1964 CRA bars discrimination based on race, color, religion, sex or national origin EEOC empowered to conciliate discrimination complaints CRA of 1991 places burden of proof on employers, allows monetary damages ADA extends protection to the disabled Workplace diversity works