1. 1 Labor and Employment Discrimination Law Chapter 20 © 2005 Thomson/West Legal Studies In Business

2. 2 Different Legal Environments in the Workplace U.S.: “at will” employment very flexible, can be fired at any time, some exceptions (contracts, plant closing law) Europe: just cause termination, employee representation on boards Impact of different legal constraints on business? Job creation? Kochi Hoso case

3. 3 Discrimination: U.S. Perspective Title VII and 1991 Civil Rights Act applies to firms outside the U.S. that are “under control” of U.S. firm Exception if practice would violate law of host country Defenses- control by foreign person, foreign compulsion, BFOQ

4. 4 Reyes-Gaono v. North Carolina Growers A Mexican national was told by NCGA official in Mexico that he was over 40 and thus not eligible for a job in N.C. Issue: Does the ADEA apply extraterritorially? Holding: No. Foreign nationals in foreign countries are not covered by the law.

5. 5 Foreign Compulsion Defense Mahoney v. RFE The Court found that adherence to a foreign collective bargaining agreement requiring mandatory retirement at 65 was sufficient and although not a foreign law met the requirements of the statute.

6. 6 Other Countries Some convergence in outlawing discrimination Even in Japan Different enforcement EU Maternity Directive- 14 weeks at 75% - 80% net salary (more generous than U.S. which does not require payment)

7. 7 Case Bezguia Adoui v. Belgian State

8. 8 Bilka-Kaufhaus GmbH v. Karin Weber Exclusion of part-time employees from benefits and pension Is this discrimination when most of those part-time employees are women? Court articulates an “effects” test justified for economic reasons

9. 9 Ethical Issues Work safety- how safe need the work environment be? What standards? Unsafe labor conditions Child labor Prison labor Codes of conduct

10. 10 Business Response Look at companies doing business in South Africa during Apartheid - what standards did they follow? Role of NGOs Government Codes of Conduct Sanders Amendment: bans imports of goods made by forced child labor