Chapter 02 Equal Employment Opportunity and Huamn Resources Managmement

Copyright © 2004 South-Western. All rights reserved.
PowerPoint Presentation by Charlie Cook

Copyright © 2004 South-
Western. All rights reserved. 2–2
Objectives
After studying this chapter, you should be able to:
1. Explain the reasons behind passage of EEO
legislation.
2. Prepare an outline describing the major laws
affecting equal employment opportunity. Describe
bona fide occupational qualification and religious
preference as EEO issues.
3. Discuss sexual harassment and immigration reform
and control as EEO concerns.
4. Explain the use of the Uniform Guidelines on
Employee Selection Procedures.

Objectives (cont’d)
After studying this chapter, you should be able to:
5. Provide examples illustrating the concept of adverse
impact and apply the four-fifths rule.
6. Discuss significant court cases impacting equal
employment opportunity.
7. Illustrate the various enforcement procedures
affecting equal employment opportunity.
8. Describe affirmative action and the basic steps in
developing an affirmative action program.

Historical Perspective of EEO Legislation
• Equal Employment Opportunity (EEO)
The treatment of individuals in all aspects of
employment—hiring, promotion, training, etc.—in a
fair and nonbiased manner.
• Changing National Values
• Economic Disparity
• Early Legal Developments

The Legal Environment
Source: Adapted from James Ledvinda And Vida Scarpello, Federal Regulation of Personnel
and Human Resources Management, 2e. (Boston: PWS-Kent Publishing, 1990).
ConcernsConcernsConcernsConcerns
• Fairness issues
• Economic disparity
• Changing material
values
• Interest group
agendas
• Political party
mandates
• Loop-holes in
current legislation
State
Court
System
Federal
Court
System
• Passed by
congress
• Passed by state
legislature
• Presidential
executive orders
Type name here
Type title here
• Federal agencies
• State agencies
• Independent
commissions
• Rulings
• Written
regulations
• Complaint
investigations
• Technical
assistance
• Lawsuits
• Planning
compliance
strategies
• Formulating
appropriate HR
policies
• Briefing and training
employees and
managers
• Defending lawsuits
• Working with
government
agencies lobbying
for policy changes
Opinions and
Decisions
LawsLawsLawsLaws AgenciesAgenciesAgenciesAgencies ManagementManagement
ResponsesResponses
ManagementManagement
ResponsesResponses
RegulatoryRegulatory
ActionAction
RegulatoryRegulatory
ActionAction
Challenges to Laws
Presentation Slide 2–1

Government Regulation of EEO
Figure 2.1aPresentation Slide 2–2a

Figure 2.1bPresentation Slide 2–2b

Figure 2.1cPresentation Slide 2–3

Jurisdiction of the Civil Rights Act of 1964
• All private employers in interstate commerce who employ
fifteen or more employees for twenty or more weeks per year
• State and local governments
• Private and public employment agencies, including the U.S.
Employment Service
• Joint labor-management committees that govern
apprenticeship or training programs
• Labor unions having fifteen or more members or employees
• Public and private educational institutions
• Foreign subsidiaries of U.S. organizations employing U.S.
citizens

Exemptions From Antidiscrimination
Regulations
• Bona Fide Occupational Qualification (BFOQ)
Suitable defense against a discrimination charge only
where age, religion, sex, or national origin is an actual
qualification for performing the job.
• Business Necessity
Work-related practice that is necessary to the safe
and efficient operation of an organization.

Age Discrimination Actions
• Excluding older workers from important work activities.
• Making negative changes in the performance
evaluations of older employees.
• Denying older employees job-related education, career
development, or promotional opportunities.
• Selecting younger job applicants over older, better-
qualified candidates.
• Pressuring older employees into taking early retirement.
• Reducing the job duties and responsibilities of older
employees.
• Terminating older employees through downsizing.

What Is a “Disability”?
• The Americans With Disabilities Act defines a
disability as:
A physical or mental impairment that substantially
limits one or more of the major life activities.
A record of such impairment.
Being regarded as having
such an impairment.

What Is a “Disability”? (cont’d)
• The ADA does not cover:
Homosexuality or bisexuality
Gender-identity disorders not resulting from physical
impairment or other sexual-behavior disorders
Compulsive gambling, kleptomania, or pyromania
Psychoactive substance-use disorders resulting from
current illegal use of drugs
Current illegal use of drugs
Infectious or communicable diseases of public health
significance (applied to food-handling jobs only and
excluding AIDS)

ADA Suggestions for an Accessible Workplace
• Install easy-to-reach switches.
• Provide sloping sidewalks and
entrances.
• Install wheelchair ramps.
• Reposition shelves for the easy
reach of materials.
• Rearrange tables, chairs, vending
machines, dispensers, and other
furniture and fixtures.
• Widen doors and hallways.
• Add raised markings on control
buttons.
• Provide designated accessible
parking spaces.
• Install hand controls or
manipulation devices.
• Provide flashing alarm lights.
• Remove turnstiles and revolving
doors or provide alternative
accessible paths.
• Install holding bars in toilet areas.
• Redesign toilet partitions to
increase access space.
• Add paper cup dispensers at water
fountains.
• Replace high-pile, low-density
carpeting.
• Reposition telephones, water
fountains, and other needed
equipment.
• Add raised toilet seats.
Figure 2.2

EEO Rules Applicable to Federal Contractors and
Agencies
Figure 2.3

Fair Employment Practice Laws
• Fair Employment Practices (FEPs)
State and local laws governing equal employment
opportunity that are often more comprehensive than
federal laws.
Although Title VII of the Civil Rights Act exempts
employers with fewer than fifteen employees, many
states extend antidiscrimination laws to smaller
employers with one or more workers.

Sexual Harassment
• Sexual Harassment (under Title VII)
Unwelcome advances, requests for sexual favors,
and other verbal or physical conduct of a sexual
nature in the working environment
An employer is considered guilty of sexual
harassment when:
 The employer knew or should have known about the
unlawful conduct and failed to remedy it or to take
corrective action.
 The employer allows nonemployees (customers or
salespeople) to sexually harass employees.

Sexual Harassment
Unwelcome advances, requests for sexual favors, andUnwelcome advances, requests for sexual favors, and
other verbal or physical conduct of a sexual nature inother verbal or physical conduct of a sexual nature in
the working environment.the working environment.
Hostile EnvironmentHostile EnvironmentHostile EnvironmentHostile EnvironmentQuid Pro QuoQuid Pro QuoQuid Pro QuoQuid Pro Quo
Types of Sexual HarassmentTypes of Sexual HarassmentTypes of Sexual HarassmentTypes of Sexual Harassment
SubmissionSubmissionSubmissionSubmission RejectionRejectionRejectionRejection UncomfortableUncomfortableUncomfortableUncomfortable SubjectiveSubjective
ResponseResponse
SubjectiveSubjective
ResponseResponse

Sexual Harassment
• Quid Pro Quo Harassment
Occurs when “submission to or rejection of sexual
conduct is used as a basis for employment
decisions.”
Involves a tangible or economic consequence, such
as a demotion or loss of pay.
Oncale v Sundowner Offshore Services (1998)
 Same-sex sexual harassment (male-to-male, female-to-
female) is covered under Title VII.

Sexual Harassment (cont’d)
• Hostile Environment
Occurs when unwelcome sexual conduct “has the
purpose or effect of unreasonably interfering with job
performance or creating an intimidating, hostile, or
offensive working environment.
Dirty jokes, vulgar slang, nude pictures, swearing,
and personal ridicule and insult constitute sexual
harassment when an employee finds them offensive.
Courts use a “reasonable person” test for hostile
environment.

Immigration Reform and Control Act (1986)
• Employers must comply with the Act by:
Having employees fill out their part of Form I-9.
Checking documents establishing an employee’s
identity and eligibility to work.
Complete the employer’s section of Form I-9.
Retain Form I-9 for at least three years.
Present Form I-9 for inspection to an Immigration and
Naturalization Service officer or to a Department of
Labor officer upon request.

Uniform Guidelines on Employee Selection
Procedures
• Uniform Guidelines on Employee Selection
Procedures
Procedural document published in the Federal
Register to assist employers in complying with federal
regulations against discriminatory actions.
Applies to employee selection procedures in the
areas of hiring, retention, promotion, transfer,
demotion, dismissal, and referral.

Uniform Guidelines on Employee Selection
Procedures
• Uniform Guidelines on Employee Selection
Procedures define discrimination as:
The use of any selection procedure which has an
adverse impact on the hiring, promotion, or other
employment or membership opportunities of
members of any race, sex, or ethnic group (protected
class) will be considered to be discriminatory and
inconsistent with these guidelines, unless the
procedure has been validated in accordance with
these guidelines (or, certain other provisions are
satisfied).

Validity
• The requirement that, when using a test or other
selection instrument to choose individuals for
employment, employers must be able to prove
that the selection instrument bears a direct
relationship to job success.
Proof of validity is established through validation
studies that show the job relatedness or lack thereof
for the selection instrument under study.

Forms of Discrimination
• Adverse Impact
The rejection of a significantly higher percentage of a
protected class for employment, placement, or
promotion when compared with the successful,
nonprotected class.
Possibly the unintentional result of an innocent act,
yet the outcome is still discriminatory.
• Disparate Treatment
An employer’s intentional unequal treatment or
evaluation by different standards of protected-class
members.

Determining Discrimination
• Adverse Rejection Rate, or Four-Fifths Rule
Rule of thumb followed by the EEOC in determining
adverse impact for use in enforcement proceedings.
 According to the Uniform Guidelines, a selection
program has an adverse impact when the selection rate
for any racial, ethnic, or sex class is less than four-fifths
(or 80 percent) of the rate of the class with the highest
selection rate.
The four-fifths rule is not a legal definition of
discrimination, rather it is used to monitor severe
discrimination practices.

Determining Discrimination
• McDonnell Douglas Test to Establish a Prima
Facie Case of Discrimination:
1. The person is a member of a protected class.
2. The person applied for a job for which he or she
was qualified.
3. The person was rejected,despite being qualified.
4. After rejection,the employer continued to seek
other applicants with similar qualifications.
 The burden now shifts to the employer to
prove that the action taken against the
individual was not discriminatory.

Determining Adverse Impact:
The Four-fifths Rule
Source: Adoption of Questions and Answers to Clarify and Provide a Common Interpretation of the Uniform
Guidelines on Employee Selection Procedures, Federal Register 44, no. 43 (March 2, 1979): 11998.

Determining Adverse Impact
The Four-Fifths Rule
A rule of thumb followed by the EEOC in determining
adverse impact for use in enforcement proceedings.
Employees Blacks (6) Hispanics (3) Whites (12)
Number Given Raise 2 2 9
Selection Ratio .33 .66 .75
Minority Selection Ratio/
Majority Selection Ratio
.33/.75 = .44 .66/.75 = .88
Adverse Impact Yes No

Workforce Utilization Analysis
• Workforce Utilization Analysis
The process of comparing the composition by race
and sex for jobs within an organization against
composition of the employer’s relevant labor market.
The workforce is at parity when its composition
matches the relevant labor market.
If the workforce composition is below external figures,
the affected protected classes are underutilized and
the employer should take affirmative steps to correct
the imbalance.

Significant Court Cases
• Griggs v Duke Power Company (1971)
The Supreme Court ruled that employer
discrimination need not be overt or intentional to be
present—employment practices having an adverse
impact on protected classes can be illegal even when
applied equally to all employees.
Employers have the burden of proving that
employment requirements are job-related or
constitute a business necessity and are absolutely
necessary for job success.
Good intent, or absence of intent to discriminate, is
not a sufficient defense of adverse impact.

Significant Court Cases (cont’d)
• Albemarle Paper Company v Moody (1975)
Supreme Court strengthened requirements on
employers to demonstrate that tests used in hiring or
promotion decisions are job-related and valid
predictors of job success.
• Wards Cove Packing Co. v Atonio (1989)
Supreme Court held that a statistical disparity among
protected members of a workforce does not show
proof of discrimination—the proper comparison is to
qualified applicants in the employer’s relevant labor
market.

U.S.Equal Employment Opportunity Commission
Case Figures, Fiscal Years 1994–2000
Figure 2.4
Source: Data compiled by the Office of Research, Information and
Planning from EEOC’s Charge Data System’s national database.

Section D, EEO-1 Report
Figure 2.5

EEOC Poster
HRM 6

Internal Discrimination Complaint Procedure
EmployeeEmployee
discriminationdiscrimination
chargecharge
EmployeeEmployee
discriminationdiscrimination
chargecharge
Reported toReported to
manager ormanager or
supervisorsupervisor
Reported toReported to
manager ormanager or
supervisorsupervisor
Organizational EEOOrganizational EEO
officer orofficer or
designated HR staffdesignated HR staff
personperson
Organizational EEOOrganizational EEO
officer orofficer or
designated HR staffdesignated HR staff
personperson
InvestigationInvestigationInvestigationInvestigation
Decision onDecision on
chargecharge
Decision onDecision on
chargecharge
No basis forNo basis for
charge: chargecharge: charge
dismisseddismissed
No basis forNo basis for
charge: chargecharge: charge
dismisseddismissed
Appeal to organizationalAppeal to organizational
EEO grievance committeeEEO grievance committee
Appeal to organizationalAppeal to organizational
EEO grievance committeeEEO grievance committee
ChargeCharge
upheldupheld
ChargeCharge
upheldupheld
Accused:
Oral or written
reprimand
Suspension
Discharge
Harmed Employee:
Restore all lost
employment conditions

How to Achieve Fairness in EEO
1. Correct stereotyped thinking.
2. Eliminate irrelevant job requirements.
3. Open job and promotion opportunities to all
protected classes.
4. Promote on the basis of merit rather than seniority.
5. Provide equal pay for equal work.
6. Modify employee benefits to needs of women,
minorities, and working families.
7. Management training in EEO requirements.

Filing a Charge
of Employment
Discrimination
Figure 2.6

Affirmative Action Issues
• Affirmative Action
Policy that goes beyond equal employment
opportunity by requiring organizations to comply with
the law and correct past discriminatory practices by
increasing the numbers of minorities and women in
specific positions.
• Reverse Discrimination
The act of giving preference to members of protected
classes to the extent that unprotected individuals
believe they are suffering discrimination.

Affirmative Action Court Cases
• University of California Regents v Bakke (1978)
The Supreme Court ruled that:
 Applicants must be evaluated on an individual basis.
 Race can be one factor used in the evaluation process as
long as other competitive factors are considered.
The Court stated that affirmative action programs
were not illegal (reverse discrimination) per se as long
as rigid quota systems were not specified for different
protected classes.

Affirmative Action Court Cases (cont’d)
• United Steelworkers of America v Weber (1974)
The Supreme Court held that voluntary affirmative
action programs are permissible where they attempt
to eliminate racial imbalances in “traditionally
segregated job categories.”
In Weber, the Court did not endorse all voluntary
affirmative action programs.

Managing Diversity: Affirmative Action
• Challenges to Affirmative Action (AA):
AA has not improved protected groups employment.
Individuals hired under AA feel prejudged as inferior
performers, and are often viewed as “tokens.”
AA programs have failed in assimilating protected
classes into the workforce.
Preferences shown toward one protected class may
create conflicts between other minority groups.

Basic Steps In Developing An Effective
Affirmative Action Program
1. Issue a written equal employment opportunity policy and
affirmative action commitment.
2. Appoint a top official with responsibility and authority to
direct and implement the program.
3. Publicize the policy and affirmative action commitment.
4. Survey present minority and female employment by
department and job classification.
5. Develop goals and timetables to improve utilization of
minorities and women in each area where underutilization
has been identified.
6. Develop and implement specific programs to achieve goals.
7. Establish an internal audit and reporting system to monitor
and evaluate progress in each aspect of the program.
8. Develop supportive in-house and community programs.
HRM 7

Court Decisions on Affirmative Action
• Adarand Constructors v Peña (1995)
The Supreme Court ruled that federal programs that
use race or ethnicity as a basis for decision making
must be strictly scrutinized to ensure that they
promote “compelling” governmental interests.
• Hopwood v State of Texas (1996)
The Court ruled in a decision affecting admission
standards at the University of Texas law school that
diversity could not constitute a compelling state
interest justifying racial preference in selection
decisions.

Chapter 02 Equal Employment Opportunity and Huamn Resources Managmement

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