Human Resource Management 10th Edition Chapter 3 WORKPLACE DIVERSITY, EQUAL EMPLOYMENT OPPORTUNITY, AND AFFIRMATIVE ACTION

2008 by Prentice Hall

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HRM in Action: Sequencing Moms, Bringing Them Back

Today, more new mothers are leaving the labor force only to return later, often called sequencing moms Major employers are reaching out to sequencing moms to be sure they do not make a permanent exit Tangible shift toward companies accepting returning women professionals
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Projected Future Diverse Workforce

By 2010, civilian labor force is projected to increase by 17 million to 158 million. U.S. workforce will become more diverse U.S. Department of Labor projects by 2013, available jobs will outnumber workers by 6.7 million and by 2030, available jobs will outnumber workers by 30 million.
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Diversity and Diversity Management

Diversity - Any perceived difference among people: age, race, religion, functional specialty, profession, sexual orientation, geographic origin, lifestyle, tenure with organization, or position, and any other perceived difference.
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Diversity Management
Ensuring factors are in place to provide for and encourage continued development of diverse workforce by melding actual and perceived differences among workers to achieve maximum productivity
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Managing Diverse Workforce: Various Components

Single Parents & Working Mothers Women in Business Dual Career Families Workers of Color Older Workers Persons with Disabilities Immigrants Young Persons with Limited Education/Skills Educational Level of Employees
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Single Parents and Working Mothers

Number is growing Many marriages end in divorce Widows and widowers who have children Need alternative child-care arrangements 72% of mothers with children under 18 are in work force
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Women in Business
Account for 45% of workforce Hold half of all management, professional, and related occupations Over 9 million women-owned businesses Increasing number of nontraditional households Organizations must address work/family issues
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Dual Career Families

Both husband and wife have jobs and family responsibilities Majority of children growing up today have both parents working outside home Some have established long-distance jobs Want more workplace flexibility Revised nepotism policy
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Workers of Color
Often experience stereotypes Often encounter misunderstandings and expectations Bicultural stress Socialization in ones culture of origin can lead to misunderstandings in workplace
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Older Workers
Population is growing Long-term labor shortage is developing Many organizations actively courting older employees to remain on job longer Needs and interests may change May require retraining
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Persons with Disabilities

Limits amount or kind of work person can do or makes its achievement unusually difficult Perform as well as unimpaired in productivity, attendance and average tenure ADA prohibits discrimination against qualified individuals with disabilities Serious barrier is bias, or prejudice Manager can set the tone

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Immigrants
Large numbers of immigrants from Asia and Latin America have settled in many parts of United States Newer immigrants require time to adapt Managers must work to understand different cultures and languages
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Young Persons with Limited Education or Skills

Many thousands of young, unskilled workers are hired Poor work habits Tardy or absent Can do many jobs well Jobs can be de-skilled
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Educational Level of Employees

Bipolar country with regard to education Half of new jobs need some education beyond high school Those with limited education will be left out of empowerment effort
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Trends & Innovations: Superdads

Majority of men today are vastly more involved in the rearing of their children and maintenance of their households than their fathers were Job of stay-at-home dad is becoming more attractive to todays working dads Have disadvantage of having few role models to show them the way
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Equal Employment Opportunity And Affirmative Action

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Equal Employment Opportunity: An Overview

EEO modified since passage of Equal Pay Act of 1963, Civil Rights Act of 1964, and Age Discrimination in Employment Act of 1967 Congress has passed other legislation Major Supreme Court decisions interpreting provisions handed down Executive orders signed into law
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Laws Affecting Equal Employment Opportunity

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Civil Rights Act of 1866

Oldest federal legislation affecting staffing Based on Thirteenth Amendment No statute of limitations Employment is a contractual arrangement
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Equal Pay Act of 1963

Prohibits employer from paying employee of one gender less money than employee of opposite gender, if both employees do work that is substantially the same Jobs considered substantially the same when they require equal skill, effort, and responsibility and they are performed under similar working condition
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Title VII of Civil Rights Act of 1964 - Amended 1972

Greatest impact on HR management Illegal for employer to discriminate Fifteen or more employees Exceptions to Title VII Persons not covered by Title VII Created the Equal Employment Opportunity Commission (EEOC)
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Illegal for Employer to Discriminate

Race Color Sex Religion National origin
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Exceptions to Title VII

Bona fide occupational qualifications (BFOQs) Seniority and merit systems Testing and educational requirements
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Persons Not Covered by Title VII

Aliens not authorized to work in United States Members of Communist party Homosexuals

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Age Discrimination in Employment Act Of 1967--amended In 1978 & 1986

Illegal to discriminate against anyone 40 years or older Administered by EEOC Pertains to employers who have 20 or more employees Provides for trial by jury Possible criminal penalty Older Workers Benefit Protection Act (OWBPA)
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Age Can Be Bona Fide Occupational Qualification

Federal Aviation Administration can force commercial pilots to retire at 60 Greyhound did not violate ADEA when refused to hire persons 35 years or older as intercity bus drivers Likelihood of risk or harm to passengers was involved with both cases
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Rehabilitation Act of 1973

Prohibits discrimination against disabled workers Government contractors, subcontractors, and organizations Two primary levels $2,500 required to post notices they agree to take affirmative action to recruit, employ, and promote qualified disabled individuals
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Rehabilitation Act of 1973 (Cont.)

If contract or subcontract exceeds $50,000, or if contractor has 50 or more employees, employer must prepare written affirmative action plan Administered by Office of Federal Contract Compliance Programs (OFCCP)

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Pregnancy Discrimination Act of 1978

Amendment to Title VII of Civil Rights Act Pregnancy, childbirth, or related medical condition Questions about family plans, birth control techniques, and the like may be discriminatory because they are not asked of men Benefits area also covered
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Immigration Reform and Control Act (IRCA) of 1986

Granted amnesty to approximately 1.7 million long-term unauthorized workers Established criminal and civil sanctions against employers who knowingly hire unauthorized aliens Reduces threshold coverage to 4 employees Toughened criminal sanctions for employers who hire illegal aliens
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Immigration Reform and Control Act (IRCA) of 1986 (Cont.)

Denied illegal aliens federally funded welfare benefits Legitimized some aliens through an amnesty program Candidates for employment are not required to be U. S. citizens but they must prove they are eligible to work in the United States
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Immigration Reform and Control Act (IRCA) of 1986 (Cont.)

Employers must require all new employees to complete and sign a verification form (Form I-9) to certify their eligibility for employment Establish their eligibility for employment by presenting a U.S. passport, alien registration card with photograph, or a work permit that establishes the persons identity and employment eligibility
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Illegal Immigration Reform and Immigrant Responsibility Act of 1996

Passed partly in response to the fact that at least one of the terrorists who blew up World Trade Center (1993) had legally entered on a student visa Places severe limitations on persons who come to United States and remain in the country longer than permitted by their visas and/or persons who violate their nonimmigrant status Three year ban Ten year ban
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Americans with Disabilities Act of 1990 (ADA)

Prohibits discrimination against qualified individuals with disabilities Person who has, or is regarded as having, a physical or mental impairment that substantially limits one or more major life activities, and has a record of such an impairment, or is regarded as having such an impairment
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Americans with Disabilities Act (ADA) (Cont.)

EEOC guidelines on pre-employment inquiries and tests regarding disabilities prohibit inquiries and medical examinations intended to gain information about applicants disabilities before a conditional job offer Ask only about potential employees ability to do the job, and not about their disabilities
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Civil Rights Act of 1991

Provide appropriate remedies for intentional discrimination and unlawful harassment Codify business necessity and job related Confirm authority and guidelines for finding of disparate impacts under Title VII. Disparate impact occurs when certain actions in the employment process work to the disadvantage of members of protected groups. Concept discussed under the topic of adverse impact.
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Civil Rights Act of 1991 (Cont.)

Expand scope of relevant civil rights statutes to provide adequate protection to victims of discrimination Extraterritorial employment Does not apply to U.S. companies operating in other countries if it would violate laws or customs of foreign country Glass Ceiling Act

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Damages Permitted
Number of Employees 15-100 101-200 201-500 Over 500

Damages
$50,000 $100,000 $200,000 $300,000

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Glass Ceiling
Invisible barrier in organizations that prevents many women and minorities from achieving top-level management positions

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Uniformed Services Employment and Reemployment Rights Act (USERRA) of 1994

Provide protections to Reservists and National Guard members Workers entitled to return to civilian employment after completing military service Intended to eliminate or minimize employment disadvantages to civilian careers that can result from service in uniformed services
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Veterans Benefits Improvement Act (VBIA) of 2004

Amends portions of the USERRA Enhances housing, education, and other benefits for veterans Requires employers to post a notice informing employees of their rights under USERRA Increases the health care continuation period for employees on military leave from 18 months to 24 months
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State and Local Laws

State and local laws affect EEO When EEOC regulations conflict with state or local civil rights regulations Legislation more favorable to women and minorities applies
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Significant U.S. Supreme Court Decisions

Griggs v Duke Power Company Albermarle Paper Company v Moody Phillips v Martin Marietta Corporation Espinoza v Farah Manufacturing Company Dothard v Rawlingson University of California Regents v Bakke
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Significant U.S. Supreme Court Decisions (Cont.)

American Tobacco Company v Patterson Adarand Constructors v Pena Grutter v Bollinger Gratz v Bollinger O'Connor v Consolidated Coin Caterers Corp.

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Griggs v Duke Power Company

Major decision affecting HR management When HR management practices eliminate higher percentage of minority or women applicants, burden of proof on employer to show practice is job related
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Griggs v Duke Power Company (Cont.)

Questions in employment procedures that should be avoided if not job related include credit record, conviction record, garnishment record, and education Asking nonjob-related questions is legal; it is how a hiring person uses information that makes it illegal

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Albermarle Paper Company v Moody

Reaffirmed idea that any test used in selection process, or in promotion decisions, must be validated if it has an adverse impact on women and minorities
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Phillips v Martin Marietta Corporation

Company discriminated against woman because she had young children Major implication Firm cannot impose standards for employment only on women Neither application forms nor interviews should contain questions for women that do not also apply to men 2008 by Prentice Hall 3-49

Phillips v Martin Marietta Corporation (Cont.)

Examples of questions that should not be asked are: Do you wish to be addressed as Ms., Miss, or Mrs.? Are you married? Do you have children? Do you plan on having any more children? Where does your spouse work?
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Espinoza v Farah Manufacturing Company

Title VII does not prohibit discrimination on basis of lack of citizenship

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Dothard v Rawlingson
Impact of decision was height and weight requirements must be job related. Argument does not rebut prima facie evidence showing requirements have discriminatory impact on women, whereas no evidence was produced correlating these requirements with requisite amount of strength thought essential to good performance
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University of California Regents v Bakke

Reaffirmed that race may be taken into account in admission decisions

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American Tobacco Company v Patterson

Allows seniority and promotion systems established since Title VII to stand, although they unintentionally hurt minority workers

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OConnor v Consolidated Coin Caterers Corp.

Declared discrimination is illegal even when all employees are members of the age protected age group.

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Adarand Constructors v Pena

Criticized moral justification for affirmative action, saying raceconscious programs cause unconstitutional reverse discrimination and harm those they seek to advance
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Grutter v Bollinger
Appeared to support the Bakke decision Ruled in a 5-4 decision that colleges and universities have a compelling interest in achieving diverse campuses Schools may favor black, Hispanic, and other minority students in admissions as long as administrators take the time to assess each applicants background and potential
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Gratz v Bollinger
In trying to achieve diversity, colleges and universities cannot use point systems that blindly give extra credit to minority applicants Court determined that Michigans 150-point index for screening applicants, which gave an automatic 20 points to minority applicants, was not the proper way to achieve racial diversity
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Equal Employment Opportunity Commission (EEOC)

Title VII of Civil Rights Act, as amended, created the EEOC Filing a discrimination charge initiates EEOC action. Certain exceptions to coverage of Title VII
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Steps in Handling a Discrimination Case Charge Filed Attempt at a No-Fault Settlement Investigation by the EEOC Issue a Probable Cause or a No Probable Cause Statement Attempt at Conciliation Recommendations for or Against Litigation
Recommendation Against Litigation Right to Sue Notice Issued to Charging Party Recommendation for Litigation EEOC Initiates Action
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Equal Employment Opportunity Commission (Cont.)

Some factors that determine whether EEOC will pursue litigation are (1) number of people affected by alleged practice; (2) amount of money involved in charge; (3) other charges against employer; and (4) type of charge. EEOC files suit in only about 1% of charges
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Uniform Guidelines on Employee Selection Procedures

Single set of principles designed to assist employers, labor organizations, employment agencies, and licensing and certification boards in complying with federal prohibitions against employment practices that discriminate on basis of race, color, religion, gender, and national origin
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Concept of Disparate Treatment

Employer simply treats some people less favorably than others because of race, religion, sex, national origin, or age Most easily understood form of discrimination Common forms of disparate treatment include selection rules with racial, sexual, or other premise, prejudicial action, unequal treatment on individual basis, and different hiring standards for different groups
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Concept of Adverse Impact

Defined in terms of selection rates Established by Uniform Guidelines Occurs if women and minorities are not hired at rate of at least 80% of bestachieving group Also called the four-fifths rule

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Concept of Adverse Impact (Cont.)

Success rate for women and minority applicants

Success rate for best-achieving group applicants

= Determination of adverse impact

Assuming adverse impact shown, employers have two avenues available if they desire to use particular selection standard. First, employer may validate a selection device by showing it is predictor of success Second avenue is bona fide occupational qualification (BFOQ) defense
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Adverse Impact Example 1

During 2007, 400 people were hired for a particular job. Of the total, 300 were white and 100 were black. There were 1,500 qualified applicants for these jobs, of whom 1,000 were white and 500 were black. Using the adverse impact formula, you have: 100/500 0.2 ________ = _____ = 66.67% 300/1,000 0.3 Thus, adverse impact exists.
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Adverse Impact Example 2

During 2007, assume that 300 blacks and 300 whites were hired. But there were 1,500 qualified black applicants and 1,000 qualified white applicants. Using the adverse impact formula, you have:
300/1,500 0.2

_________ = ____
300/1,000 0.3

66.67%

Thus, adverse impact exists.

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Additional Guidelines
Guidelines on Sexual Harassment Guidelines on Discrimination Because of National Origin Guidelines on Discrimination Because of Religion

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Guidelines on Sexual Harassment

Title VII generally prohibits gender discrimination in employment EEOC issued interpretative guidelines Two distinct types of sexual harassment; (1) where hostile work environment is created, and (2) when there is quid pro quo
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EEOC Definition of Sexual Harassment

Unwelcome sexual advances, requests for sexual favors, and verbal or physical conduct of sexual nature that occur under any of following situations: 1. When submission to such conduct is made either explicitly or implicitly a term or condition of individuals employment When submission to or rejection of such conduct by individual is used as basis for employment decisions affecting individual When conduct has purpose or effect of unreasonably interfering with individuals work performance or creating intimidating, hostile, or offensive working environment 2008 by Prentice Hall 3-70

2.

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Sexual Harassment
Employers are liable for acts of supervisors, regardless of whether employer is aware of sexual harassment act Employer is responsible for acts of co-workers if employer knew, or should have known, about them May be liable for acts committed by nonemployees in workplace Immediate and appropriate action
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Meritor Savings Bank v Vinson

First sexual harassment case to reach U.S. Supreme Court Ruled Title VII is not limited to discrimination with only economic or tangible effects
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Harris v Forklift Systems, Inc.

Expanded hostile workplace concept and made it easier to win sexual harassment claims No longer does severe psychological injury have to be proved. Plaintiff only needs to show employer allowed hostile to abusive work environment to exist

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Oncale v Sundowner Offshore Services

Held that same-sex sexual harassment may be unlawful under Title VII Does not prohibit all verbal or physical harassment in the workplace, only that which constitutes discrimination because of sex

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Guidelines on Discrimination Because of National Origin

Discrimination on basis of national origin as denial of equal employment opportunity because of: Individuals ancestors or place of birth Individual has physical, cultural, or linguistic characteristics of national origin group
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Guidelines on Discrimination Because of National Origin (Cont.)

National origin protection also covers (1) marriage or association with person of specific national origin (2) membership in, or association with, organization identified with, or seeking to promote interests of national groups (3) attendance at, or participation in, schools, churches, temples, or mosques generally used by persons of national origin group (4) use of individuals or spouses name that is associated with national origin group
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English-only Rule
Courts generally ruled in employers favor if rule would promote safety and product quality and stop harassment Rule must be justified by a compelling business necessity

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Guidelines on Discrimination Because of Religion

Employers have obligation to accommodate religious practices unless they can demonstrate a resulting hardship
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Methods for Accommodating Religious Practices

Voluntary substitutes Flexible scheduling Lateral transfers Change in job assignments Union should accommodate by permitting donations
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Executive Order
Directive issued by President, having force and effect of laws enacted by Congress

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Affirmative Action
Many believe the concept of affirmative action got its beginning in 1948 when former president Harry S. Truman officially ended racial segregation in all branches of the military by issuing Executive Order 9981 Officially it began in 1965 when President Lyndon B. Johnson signed EO 11246
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Executive Order 11246

Establishes the policy of the U.S. government as providing equal opportunity in federal employment for all qualified people Prohibits discrimination in employment because of race, creed, color, or national origin Positive, continuing program in each executive department and agency
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Executive Order 11375

In 1968 EO 11246 modified. Changed word creed to religion and added sex discrimination to other prohibited items
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Affirmative Action Programs

Approach developed by organizations with government contracts to demonstrate workers are employed in proportion to their representation in firm's relevant labor market
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Degree of Control OFCCP Will Impose

Involves $10,000- $50,000 contracts. These contractors governed by equal opportunity clause If contractor (1) has 50 or more employees, (2) has contract of $50,000 or more, must develop written affirmative action program for each establishment and file annual EEO-1 report
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Degree of Control OFCCP Will Impose (Cont.)

When contracts exceed $1 million All previously stated requirements must be met OFCCP is authorized to conduct preaward compliance reviews

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What Is Included in an AAP?

Policy statement has to be developed Analysis of deficiencies in the utilization of minority groups and women Conduct a utilization analysis Analyze of all major job groups Underutilization is defined as having fewer minorities or women in a particular job group than would reasonably be expected by their availability
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Underutilization Example
If utilization analysis shows the availability of blacks for a certain job group is 30%, organization should have at least 30% black employment in that group. If actual employment is less than 30%, underutilization exists, and firm should set a goal of 30% black employment for that job group.
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Primary Focus
Goals and timetables Annual and ultimate Annual goal is to move toward elimination of underutilization Ultimate goal is to correct all underutilization Goals should not establish inflexible quotas that must be met
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A Global Perspective: Not the Glass Ceiling, the Bamboo Ceiling

Asian Americans are fastest-growing minority in the U.S. Why are there are so few Asian Americans at the very highest levels of U.S. companies? Most Asians share certain cultural values that are the opposite of what it takes to succeed in the corporate world
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