Fundamentals of Human

Resource Management
Eighth Edition

DeCenzo and Robbins

Chapter 3
Equal Opportunity Employment

Fundamentals of Human Resource Management 8e, DeCenzo and Robbins

Laws Affecting Discriminatory Practices

• Legislation prohibiting discrimination on

the basis of race, sex, and national
origin before the 1964 Civil Rights Act
– Civil Rights Act of 1866

Fundamentals of Human Resource Management 8e, DeCenzo and Robbins

Civil Rights Act of 1964
• Title VII prohibits discrimination in:
– Hiring,
– Compensation, and
– terms, conditions or privileges of employment
• based on:
– Race, religion, color, sex, & national origin
• Applies to any organization with 25 or more employees.
• Amended in 1972 (15 or more employees).
• Applicable both in public and private organization.
• Not applicable in small and family owned business.
Fundamentals of Human Resource Management 8e, DeCenzo and Robbins
Equal Employment Opportunity Act (EEOA)
of 1972

• Granted enforcement powers to the EEOC

• Equal Employment Opportunity Commission (EEOC)
– The arm of the federal government empowered to handle
discrimination in employment cases
– They could file civil suit against organization if unable
to get an acceptable resolution of discrimination within
120 days.
– Individual also may file suit if the EEOC decline to sue.
• Applies to any organization with 15 or more employees.
• Applicable both in public and private organization.
Fundamentals of Human Resource Management 8e, DeCenzo and Robbins
Civil Rights Act of 1964
• Affirmative Action
– Organization discontinue discrimination and actively recruit and
give preference to minorities group in recruitment. This action is
referred to as affirmative action.

• Reasons for Affirmative Action Plan

– Reflect the 1972 premise that white males made up the majority
of workers.
– Companies in the 70’s were still growing and could
accommodate more workers.
– Minorities should be hired to correct past prejudice.
– Legal and social coercion were necessary to bring about change.

Fundamentals of Human Resource Management 8e, DeCenzo and Robbins

Civil Rights Act of 1964

• Adverse (disparate) impact

– occurs when there is a greater rejection rate in an
occupation for a protected group (those protected
under discrimination laws) than for the majority
group.
• Adverse (disparate) treatment
– occurs when members of a protected group are
treated differently than other employees.

Fundamentals of Human Resource Management 8e, DeCenzo and Robbins

Laws Affecting Discriminatory Practices

• Age Discrimination in Employment Act of 1967

– protects those 40 and older
– eliminates mandatory retirement and the arbitrary
replacement of older workers with younger workers
– provides for oversight in pension and benefit issues
• Pregnancy Discrimination Act of 1978
– Employment decisions may not be based on an
individual’s pregnancy
– Must treat pregnancy as any other short-term disability
– Supplemented by various state laws

Fundamentals of Human Resource Management 8e, DeCenzo and Robbins

Laws Affecting Discriminatory Practices

• The Americans with Disabilities Act of 1990 (ADA)

– Extends protection to most forms of disability status
(including AIDS and other contagious diseases).
– Requires companies to make reasonable
accommodations for qualified applicants and employees.
– Covers private companies and all public service
organizations.

Fundamentals of Human Resource Management 8e, DeCenzo and Robbins

Laws Affecting Discriminatory Practices

• Civil Rights Act of 1991

–Prohibits racial harassment.
–Returns burden of proof to employer.
–Reinforces illegality of making hiring, firing or
promotion decisions on basis of race, ethnicity, sex or
religion.
–Permits women and religious minorities to seek punitive
damages in intentional discriminatory claims.

Fundamentals of Human Resource Management 8e, DeCenzo and Robbins

Guarding Against Discrimination Practices

• Determining Potential Discriminatory

Practices
– The 4/5ths Rule
– Restricted Policy
– Geographical Comparisons
– McDonnell-Douglas Test

Fundamentals of Human Resource Management 8e, DeCenzo and Robbins

Guarding Against Discrimination Practices

• The 4/5ths Rule

– Guideline established by EEOC Uniform Guidelines on
Employee Selection Procedures.
– Compares selection ratio for minority applicants to that for
majority applicants
– If less than 4/5ths (80%), discrimination may have occurred.
– Applies to all steps in a selection process.
• Restricted Policy
– infractions occur when HRM activities excluded a class of
individuals, and may not be intentional.
• E.g., laying off employees over age 40 while recruiting
younger workers
Fundamentals of Human Resource Management 8e, DeCenzo and Robbins
Guarding Against Discrimination Practices

• Geographical Comparisons
Characteristics of the qualified pool of potential applicants
are compared to characteristics of employees
• McDonnell-Douglas Test
– Individual is member of a protected group.
– Individual is qualified for job.
– Individual is rejected.
– Organization continues to seek other applicants with
similar qualifications.

Fundamentals of Human Resource Management 8e, DeCenzo and Robbins

Responding to an EEO Charge

• Employers should discontinue practices which

cannot be defended.
• Practice reinstated only after
– Careful study
– Practice is modified, if necessary
• Three defenses:
– Business necessity
– Bona Fide occupations qualifications
– Seniority System

Fundamentals of Human Resource Management 8e, DeCenzo and Robbins

Responding to an EEO Charge

• Business Necessity
– the right to expect employees to perform successfully
– shown by demonstrating that selection criteria are job-related
• Bona Fide Occupational Qualifications
– Can be use when job requirements are “reasonably necessary
to meet the normal operation of that business or enterprise”
– Title VII exceptions: Sex, Age, and religion
• Seniority Systems
– Decisions that adversely affect protected group members may
be permissible if based on well-established and consistently
applied seniority systems

Fundamentals of Human Resource Management 8e, DeCenzo and Robbins

Enforcing Equal Employment
Opportunity
• Equal Employment
Opportunity Commission
– Jurisdiction for Title VII and
other legislation that covers
charges of discrimination based
on race, color, sex, national
origin, age or disability.
• Five Step Process to Pursue
Charges

Fundamentals of Human Resource Management 8e, DeCenzo and Robbins

Enforcing Equal Employment Opportunity

Five Step Process to Pursue Charges

1. EEOC notifies company within 10 days of filing and
begins investigation
2. EEOC notifies company of findings within 120 days
3. If unfounded, process stops
If founded, EEOC tries to resolve
4. If unsuccessful, EEOC begins mediation (settlement
meeting)
5. If unsuccessful, EEOC may file charges in court

Fundamentals of Human Resource Management 8e, DeCenzo and Robbins

Current Issues in Employment Law

• What is Sexual Harassment?

– Unwanted activity of a sexual nature that affects an
individual’s employment
– Prohibited under Title VII as sex discrimination
• Sexual harassment can occur where: verbal or physical
conduct toward an individual:
– creates an intimidating, offensive, or hostile environment
– unreasonably interferes with an individual’s work
– adversely affects employee’s employment opportunities.

Fundamentals of Human Resource Management 8e, DeCenzo and Robbins

Current Issues in Employment Law

• Are Women Reaching the Top of Organizations?

– Comparable worth - determining fair pay for both
female-oriented jobs and male-oriented jobs based on
comparable skill, effort, and responsibility.
– Glass ceiling - lack of women and minority
representation at the top levels of organizations.
– OFCCP has glass ceiling initiative.
• Promotes career development for women and
minorities.
• Looks for such in its audits.
Fundamentals of Human Resource Management 8e, DeCenzo and Robbins