1. Copyright © 2008 by West Legal Studies in Business A Division of Thomson Learning Chapter 40 Equal Employment Opportunity Law Twomey Jennings Anderson’s Business Law and the Legal Environment, Comprehensive 20e Anderson’s Business Law and the Legal Environment, Standard 20e Business Law: Principles for Today’s Commercial Environment 2e

2. Copyright © 2008 by West Legal Studies in Business A Division of Thomson Learning 2 Title VII Title VII of the Civil Rights Act of 1964, as amended, forbids discrimination on the basis of: –race, –color, –religion, –sex, or –national origin. The EEOC administers the act.

3. Copyright © 2008 by West Legal Studies in Business A Division of Thomson Learning 3 Theories of Discrimination DISPARATE TREATMENT: –Exists where employer treats some individuals less favorably than others because of their race, color, religion, sex or national origin. –Proof of the employer’s discriminatory motive is essential.

4. Copyright © 2008 by West Legal Studies in Business A Division of Thomson Learning 4 Theories of Discrimination DISPARATE IMPACT: –Employment practices that make no reference to race, color, religion, sex, or national origin, but have an adverse effect on the protected group. –The employer must show that there is a job- related business necessity for the practice in question. –Lack of intent is not a defense.

5. Copyright © 2008 by West Legal Studies in Business A Division of Thomson Learning 5 Theories of Discrimination

6. Copyright © 2008 by West Legal Studies in Business A Division of Thomson Learning 6 EEOC If a state EEO agency or the EEOC is not able to resolve the case, the EEOC issues a right-to-sue letter that enables the person claiming a Title VII violation to sue in a federal district court.

7. Copyright © 2008 by West Legal Studies in Business A Division of Thomson Learning 7 EEOC An affirmative action plan is legal under Title VII provided there is a voluntary “plan” justified as a remedial measure and provided it does not unnecessarily hinder the interests of whites.

8. Copyright © 2008 by West Legal Studies in Business A Division of Thomson Learning 8 Protected Classes and Exceptions Race and Color. Religion. Sex. Sexual Harassment (employer’s may be vicariously liable for supervisors). –Quid Pro Quo cases. –Hostile Work Environment. –Non-supervisors. National Origin. –Lack of English Language.

9. Copyright © 2008 by West Legal Studies in Business A Division of Thomson Learning 9 Title VII Exceptions Employers have several defenses they may raise in a Title VII case to explain differences in employment conditions. –(1) bona fide occupational qualifications reasonably necessary to the normal operation of the business, –(2) job-related professionally developed ability tests, and –(3) bona fide seniority systems.

10. Copyright © 2008 by West Legal Studies in Business A Division of Thomson Learning 10 Affirmative Action and Reverse Discrimination Employers may have permissible Affirmation Action Plans: –Plan is remedial in nature, voluntary and temporary. Reverse Discrimination. –AAP may discriminate against non- minorities.

11. Copyright © 2008 by West Legal Studies in Business A Division of Thomson Learning 11 Other EEO Laws Under the Equal Pay Act (EPA), employers must not pay employees of one gender a lower wage rate than the rate paid to employees of the other gender for substantially equal work. Workers over 40 years old are protected from discrimination by the Age Discrimination in Employment Act (ADEA).

12. Copyright © 2008 by West Legal Studies in Business A Division of Thomson Learning 12 The Americans with Disabilities Act (ADA) prohibit employment discrimination against persons with disabilities. Under the ADA, employers must make reasonable accommodations without undue hardship on them to enable individuals with disabilities to work. ADA

13. Copyright © 2008 by West Legal Studies in Business A Division of Thomson Learning 13 Extraterritoriality Civil Rights Act of 1991 amended both Title VII and ADA to protect U.S. citizens employed by American-owned corporations who operate in foreign countries. –Exception: compliance with extraterritoriality would vioate a foreign nation’s laws.

14. Copyright © 2008 by West Legal Studies in Business A Division of Thomson Learning 14 Review: Antidiscrimination Laws