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    Fundamentals of Human Resource Management, 10/e, DeCenzo/Robbins

    Chapter 3

    Employment Laws

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    Introduction

    Almost every U.S. organization, public and private,must abide by

    the 1964 Civil Rights Act

    its 1972 amendment

    other federal laws regulating employment

    State and municipal laws may go beyond federal laws.

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    Laws Affecting Discriminatory Practices

    The 1866 Civil Rights Actprohibited discrimination in

    employment based on race and color.

    White males have used it to argue reverse discrimination in court cases.

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    Laws Affecting Discriminatory Practices

    The 1964 Civil Rights Act

    outlawed racial segregation and discrimination inemployment, public facilities, and education

    Title VII covers hiring, promotion, dismissal,benefits, compensation or any other terms, conditions,or privileges based on race, religion, color, gender, or

    national origin

    Organizations must have at least15 employees to be covered.

    Video: Robert Johnson: Diversity at the Top

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    Laws Affecting Discriminatory Practices

    The 1972 Equal Employment Opportunity Act(EEOA)

    enforced the 1964 Civil Rights Act

    established the Equal Employment Commission(EEOC)

    expanded scope of civil rights protection toemployees of state and local governments,

    education, and labor introduced affirmative action

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    Laws Affecting Discriminatory Practices

    1967 Age Discrimination in Employment Act(ADEA)

    protects people over age 39

    stopped companies from requiring mandatoryretirement at any age

    uses four criteria to determine discriminationwhether:

    1. the employee is part of a protected group2. adverse employment action was taken3. worker was replaced by a younger worker4. worker was qualified for the job

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    Laws Affecting Discriminatory Practices

    The Pregnancy Discrimination Act of 1978

    Companies may not

    fire a female employee for being pregnant

    refuse positive treatment based on pregnancy deny insurance coverage to women

    Companies must

    offer pregnancy leave (typically 6-10 weeks) offer returning employee a similar job should the exactone be unavailable upon return

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    Laws Affecting Discriminatory Practices

    Americans with Disabilities Act (ADA) of 1990

    extends protection and reasonableaccommodations to those with a disability

    defines disabledas a person who:1. has a physical or mental impairment that substantially limitsone or more life activities2. has a history or record of such impairment3. is perceived by others as having such impairment

    Covers not only those with mobility and communicationdisabilities, but those with HIV/AIDS and intellectual

    disabilities.

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    Laws Affecting Discriminatory Practices

    The Civil Rights Act of 1991

    reinforced the 1964 Act, as a number of Supreme Court cases

    over the years weakened it

    included the Glass Ceiling Act and established the GlassCeiling Commission to study management practices

    First time such an act allowed individuals to sue forpunitive damages.

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    Laws Affecting Discriminatory Practices

    USERRA and Executive OrdersUniformed Services Employment and Reemployment Rights

    Act of 1994clarifies and strengthens rights of veteranswho served in the national guard or reserves

    Executive Order 11246prohibits discrimination by federalagencies and contractors / subcontractors

    Executive Order 11375added sex-based criteria to 11246

    Executive Order 11478added that employment practices ofthe federal government must be based on merit andprohibit discrimination

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    Guarding Against Discrimination Practices

    Four tests can determine if discrimination occurred:

    But it is up to a judicial body to make thefinal determination.

    McDonnellDouglas test

    geographical

    comparisons

    4/5ths rule

    restrictedpolicy

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    Exhibit 3.3 shows an example of compliance and non-compliance with the 4/5ths rule.

    4/5thsrule

    number of minority members hired must equal at least 80percent (4/5ths) of the majority members in the population

    hired

    issued by the EEOC, it helps to assess if adverse impact hasoccurred

    Connecticut v. Teal(1984) case established that decisions in

    each step of decision process must conform to the 4/5ths rule

    Guarding Against Discrimination Practices

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    restrictedpolicy

    geographicalcomparisons

    Do HRM policies exclude a class of individuals?

    Does companys mix of employees at all levels reflect its

    recruiting market?

    Guarding Against Discrimination Practices

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    McDonnellDouglasTest

    1. the applicant is a member of a protected group

    2. the applicant was qualified for job

    3. the applicant was rejected

    4. the organization, after rejecting applicant, continued to seekother applicants with similar qualifications

    Guarding Against Discrimination Practices

    Charge must meet four criteria:

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    Proving job relatedness is often themost common approach.

    discontinue the practice defend against the charges by arguing:

    1. business necessity

    2. bona fide occupational qualification

    3. seniority

    Guarding Against Discrimination Practices

    How companies can respond to discriminationcharges if found to have adverse impact:

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    Relevant Supreme Court Cases

    HRM practices can be challenged by anyone, and HRM must beable to defend its practices.

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    Enforcing Equal Opportunity Employment

    Federal Government

    EEOCOFCCP

    within dept. of labor

    The EEOC Web site posts notices on current issues. For example, seeits notice on the Swine Flu: http://www.eeoc.gov/facts/h1n1.html

    http://www.eeoc.gov/facts/h1n1.htmlhttp://www.eeoc.gov/facts/h1n1.html
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    OFCCP

    ESAs Office of Federal Contract

    compliance Programs (OFCCP) is responsible

    for ensuring that contractors doing businesswith the Federal government do not discriminate

    and take affirmative action.

    http://www.dol.gov/esa/ofccp/

    follows similar practice as EEOC in evaluating claims

    can cancel an organizations contract with the federalgovernment if organization fails to comply with EEO laws

    Enforcing Equal Opportunity Employment

    http://www.dol.gov/esa/ofccp/http://www.dol.gov/esa/ofccp/
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    Issues in Employment Law

    sexualharassment

    comparableworth

    EEOC: Instances where verbal or physicalconduct creates:

    an intimidating, offensive, or hostile environment

    unreasonably interferes with an individuals work

    adversely affects an employees employmentopportunities

    Glass ceiling - lack of women and minorityrepresentation at the top levels of organizations

    OFCCP has glass ceiling initiativepromotes career development for womenand minoritieslooks for such in its audits

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    HRM in a Global Environment

    Australias discrimination laws not enacted until the

    1980s

    Laws affecting HRM vary greatly by country.

    60/100-hour work-weeks not uncommon.Chinas recent labor laws seek to protect

    employees from such practices

    Representative participation (work councils and boardrepresentatives) put labor on par with managementand stockholders

    Germany

    Australia

    Mexico

    China

    Canada Canadian laws closely parallel those in the U.S.

    In Mexico, employees more likely to be unionized

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    F d t l f H R M t 10/ D C /R bbi

    Fill-in-the-blanks

    1. The 1964 Civil Rights Act, Title VII, protects individuals on the basis of

    ____, _____, ________, ___, and ________ ______.

    race, color, religion, sex, national origin2. The Equal Opportunity Employment Act established the _________.

    EEOC

    3. The Civil Rights Act of 1991 included the _____ _______ Act.

    Glass Ceiling

    4. The 4/5ths Rule: number of minority members hired must equal at least___ percent of the majority members in the population hired.

    80

    5. With _______ _________, companies argue job relatedness in

    responding to accusations of discrimination in hiring.

    Business necessity

    6. The 1971 Supreme Court case _____v.________________ ruled that

    tests must fairly measure the skills and knowledge required for a job.

    Griggs v. Duke Power Company

    7. The EEOC defines sexual harassment as creating an ____________.

    intimidating, offensive, or hostile environment