1. Human Resource Management MBA (2.5) 2nd Semester
Equal Employment Opportunity & Legal Environment
Lectures 4,5,6
Course Lecturer: Farhan Mir

2. Introduction
Equal employment opportunity (EEO) has implications for almost every activity in HRM
HR officials and managers in every function of the organization are involved
EEO programs are implemented to:
Prevent employment discrimination in the workplace
Take remedial action to offset employment discrimination

3. Introduction Equal Employment Opportunity
An attempt to ensure that all individuals have an equal opportunity for employment, regardless of race, color, religion, sex, age, disability or national origin
US governments have used constitutional amendments, legislation and executive orders to ensure this concepts positively adopted and practiced in businesses

4. How Did EEO Emerge?
Three main factors that led to the development of EEO:
Changes in societal values
The economic status of women and minorities
The emerging role of government regulation

5. Problems at Boeing Boeing Introduction
Boeing is the world's leading aerospace company and the largest manufacturer of commercial jetliners and military aircraft combined
customers in 145 countries around the world
Famous for it’s 737 and 747 aircrafts
Boeing has a long tradition of aerospace leadership and innovation
Headquartered in Chicago, Illinois, U.S.A., Boeing employs more than 155,000 people in some 67 countries

9. What is Discrimination?

10. Common Examples of Discrimination

11. Discrimination and the Courts
Plaintiff (Employee)
Must establish a “prima facie” case
Plaintiff must present evidence which makes the employer’s actions appear discriminatory
Defendant (Employer)
Must present a rebuttal to “prima facie” case
Defendant must present evidence that justifies the fairness of its actions

12. Problem at Boeing The Problem
Although facing stiffer competition from outside by companies like Airbus but at this moment we are discussing “Internal Problem based on ethics
Boeing has faced many discrimination complaints
For Example: 38 females engineers filed a discrimination case against company in year 2000
The case suggested that woman were paid less as compared to men especially at start of their jobs
“Business Week” investigated into the matter and found that this differences in pay was not a new phenomenon rather was evident in past
Salary Analysis in 1999 showed that Boeing needed to allocated $30 million to eliminate gender-based pay differences but rather allocated $10 million only
The Lawsuit (case) was based on potential plaintiffs and liability of $1 Billion
Boeing people themselves believe that something generally not right about the way they are doing it

13. What is Discrimination?
In general terms, discrimination is any practice that makes distinctions between individuals or groups that disadvantage some and advantage others.
Different treatment of others based solely on their membership in a socially distinct group or category, such as race, ethnicity, sex, religion, age, or disability

14. Equal Employment Opportunity Laws in US
Title VII of the 1964 Civil Rights Act
Pregnancy Discrimination Act of 1978
Civil Rights Act of 1991
Equal Pay Act of 1963
Age Discrimination in Employment Act of 1967 (ADEA)
Americans with Disabilities Act of 1990 (ADA)

15. Title VII of the Civil Rights Act of 1964
Prohibits discrimination against employees on the basis of (protected categories):
race
color
religion
sex
national origin
Prohibits discrimination with regard to any employment condition

16. Title VII of the Civil Rights Act of 1964 (continued)
Covered entities include:
Private employers with 15 or more employees
Labor organizations with 15 or more members
Employment agencies
Federal, state, and local government employers
Exempt entities include:
Private membership clubs
Native American tribes

17. Discrimination Bona Fide Occupational Qualification Treatment (BFOQ)
Disparate
Impact
Four-fifths
Rule
Retaliation
Treatment
Bona Fide
Occupational
Qualification
(BFOQ) 9

18. Disparate Treatment Intentional discrimination
Employers apply different standards or treatment to different groups of employees or applicants based upon a protected category

19. Disparate Impact Unintentional discrimination
Occurs when a racially neutral employment practice has the effect of disproportionately excluding a group based upon a protected category

20. Four-Fifths Rule Used to evaluate whether disparate impact exists
Discrimination typically occurs if the selection rate for one group is less than 80 percent (4/5) of the selection rate for another group

21. Bona Fide Occupational Qualification (BFOQ) (1 of 2)
Title VII states that organizations may hire employees:
based upon religion, sex, or national origin
must be reasonably necessary to the normal operation of the particular business or enterprise

22. Retaliation
Federal EEO laws prohibit retaliation against employees who:
oppose discriminatory practices, or
participate in a protected investigation, proceeding, or hearing
Retaliation includes:
termination
denial of promotion or job benefits
demotion, suspension, or threats

23. Sexual Harassment
Considered a form of sex discrimination under Title VII of the Civil Rights Act of 1964
is actionable when it occurs between same as well as opposite sex individuals
Forms of sexual harassment:
Quid pro quo – exchange of sexual favors for job benefits
Hostile work environment – creation of an offensive working environment
Famous example of FBI (supposedly male dominant department: a certain image of it)
Females have reported cases of sexual harassment and therefore are often retaliated

24. Pregnancy Discrimination Act of 1978
Amended Title VII to protect pregnant women from employment discrimination
Prohibits employers from discrimination in providing employee benefits such as:
vacation time
sick leave
health insurance
Pregnancy to be treated on same basis as any other medical problem or disability

25. Civil Rights Act of 1991 Amends Title VII
Allows plaintiffs to seek compensatory and punitive damages for intentional discrimination
Allows plaintiffs to demand jury trial for intentional discrimination claims

26. Civil Rights Act of 1991
Prohibits adjusting test scores or using different cutoff scores on the basis of a protected category
Extends the coverage of Title VII and the Americans with Disabilities Act to U.S. citizens employed by covered entities operating in foreign countries

27. Equal Pay Act of 1963
Established the concept of equal pay for equal work
Prohibits wage differentials based on gender between men and women performing the same work in organizations

28. Age Discrimination in Employment Act of 1967 (ADEA)
Protects individuals 40 years of age and older from employment discrimination based upon their age
The act covers the actions of:
private employers with 20 or more employees
employment agencies
labor organizations with at least 25 members
federal, state, and local governments

29. Americans with Disabilities Act of 1990 (ADA)
Prohibits discrimination against qualified individuals with disabilities on the basis of those disabilities in all aspects of employment
private employers with 15 or more employees
state and local government employers
U.S. Congress
Federal government employers and contractors are covered under the Rehabilitation Act of 1973

30. Americans with Disabilities Act of 1990 (ADA)
Employers must make reasonable accommodations for the known disabilities of a qualified individual with a disability
Qualified individual with a disability:
can perform the essential functions of a job
with or without reasonable accommodation

31. What Is a “Disability”?
The Americans With Disabilities Act defines a disability as:
A physical or mental impairment that substantially limits one or more of the major life activities.
A record of such impairment.
Being regarded as having such an impairment.

32. Americans with Disabilities Act of 1990 (ADA)
Employers are not required to make disability accommodations if doing so would create undue hardship for the organization

33. Examples of Reasonable Accommodations under the ADA

34. Enforcing the Law Equal Employment Opportunity Commission (EEOC)
Title VII
Office of Federal Contract Compliance Programs (OFCCP)
Executive Order 11246
The Courts
interpret the laws governing EEO

35. Summary EEO programs are designed to eliminate bias in HRM programs
The role of EEO and the law as a significant force in shaping HRM policies and programs is an accepted fact in society
The law, executive orders, and court interpretations will continue to influence every phase of HRM programs and activities

36. Affirmative Action in Organizations
Actions appropriate to overcome the effects of past or present practices, policies, or other barriers to equal employment opportunity
The idea is to make sure that organization voluntarily establish goals and takes action to hire and move minorities and women upward in the organization

37. Summary EEO programs are designed to eliminate bias in HRM programs
The role of EEO and the law as a significant force in shaping HRM policies and programs is an accepted fact in society
The law, executive orders, and court interpretations will continue to influence every phase of HRM programs and activities