Civil Rights (Title VII/1964 & 1991) Group 1 Ken Abbott, Andy Brown, Lindsey Heinonen, Eli McDaniel, Amanda Ring April 9, 2007

Presentation Outline Overview of Civil Rights ActOverview of Civil Rights Act Title VIITitle VII Equal Employment Opportunity CommissionEqual Employment Opportunity Commission Managerial ImplicationsManagerial Implications

Civil Rights Act of 1964 December 1, 1955 – Rosa Parks refused to give up her seat on a public busDecember 1, 1955 – Rosa Parks refused to give up her seat on a public bus Landmark legislation in 1964 at height of Civil Rights movementLandmark legislation in 1964 at height of Civil Rights movement Stop discrimination based on race, color, religion, sex, or national origin in areas of voting, employment, and public servicesStop discrimination based on race, color, religion, sex, or national origin in areas of voting, employment, and public services

Civil Rights Act of 1964 Title I - Voting rightsTitle I - Voting rights Title II - Public accommodations involved in interstate commerceTitle II - Public accommodations involved in interstate commerce Title IV - Desegregation of public schoolsTitle IV - Desegregation of public schools Title VI - Prevention of discrimination by government agencies that receive federal fundingTitle VI - Prevention of discrimination by government agencies that receive federal funding

Title VII of the 1964 Civil Rights Act An employer cannot discriminate based on race, color, religion, sex, or national originAn employer cannot discriminate based on race, color, religion, sex, or national origin –Hiring, firing, promotion, compensation, terms, conditions, and privileges Prohibits discrimination due to association with protected groupsProhibits discrimination due to association with protected groups Prohibits retaliationProhibits retaliation

Title VII of the 1964 Civil Rights Act ExceptionsExceptions –Bona Fide Occupational Qualification (BFOQ) Only for religion, sex, or national originalOnly for religion, sex, or national original Never for race or colorNever for race or color –Three Elements of BFOQ Direct relationship between ability to perform duties and protected groupDirect relationship between ability to perform duties and protected group Exception must relate to the essence of the businessException must relate to the essence of the business No less restrictive alternativeNo less restrictive alternative

Equal Employment Opportunity Commission (EEOC) Five members, appointed by President, confirmed by SenateFive members, appointed by President, confirmed by Senate Investigate, mediate, and file lawsuits on behalf of employeesInvestigate, mediate, and file lawsuits on behalf of employees Must file with EEOC within 180 days of complaintMust file with EEOC within 180 days of complaint If commission finds reasonable cause, it will attempt to reach an agreement through conciliationIf commission finds reasonable cause, it will attempt to reach an agreement through conciliation Fair Employment Practices Agencies (FEPAs)Fair Employment Practices Agencies (FEPAs)

Civil Rights Act of 1991 In 1980s, court rulings had effect of limiting protection of women and minority groupsIn 1980s, court rulings had effect of limiting protection of women and minority groups Addresses the issue of burden of proofAddresses the issue of burden of proof Plaintiff demonstrates that a practice has a disparate impactPlaintiff demonstrates that a practice has a disparate impact –Show significant disparity of proportion of minority between general labor pool and proportion hired –Show general job requirement is causing the disparity Employer then has burden of proving requirement is job relatedEmployer then has burden of proving requirement is job related

Civil Rights Act of 1991 Act makes it easier to sue for money damagesAct makes it easier to sue for money damages –Compensatory damages –Punitive damages Global implicationsGlobal implications –Law applies to U.S. citizens employed in a foreign country by a U.S. controlled firm Cannot violate law of host countryCannot violate law of host country Difficult to investigate because of training, lack of standards, cooperationDifficult to investigate because of training, lack of standards, cooperation

Managerial Implications Goal: limit liability (direct and indirect)Goal: limit liability (direct and indirect) –Clear, written policy –Train employees and supervisors –Process to report –Process to investigate & correct Employee retentionEmployee retention Create company culture - leadershipCreate company culture - leadership Diversity as a competitive advantageDiversity as a competitive advantage

Trends & Current Issues -Number of settlements increasing -3.6% – 11.7% from ~ 60% no reasonable cause -~ 6% reasonable cause -~ 1 in 4 conciliate, 3 in 4 don’t – litigation? -Monetary benefits -$90M to $145M annually in last 10 years -Does not include litigation Source: Title VII statisticswww.eeoc.gov

Questions?