Additional Case 3.1
You have been hired as HR Director of a company with about 100 employees. As you begin to learn about the company, you discover that female managers are paid about 20% less than their male counterparts. When you ask why, the CEO explains that men have families to support and women are earning extra income. As you review personnel files, it becomes apparent that protected-class employees are promoted less often and have longer terms between promotions and raises than white employees. A test is used as part of the promotion process, and protected-class candidates always do about 25% worse on it than white candidates. Another test is used to screen job applicants. It screens out about 25% of white male applicants and about 50% of protected-class applicants.

The firm has a hazardous products division. Traditionally, women are not hired or promoted into that division because the CEO is concerned that the toxic nature of the production process will adversely affect the female employees' reproductive processes.

-Refer to Additional Case 3.1.As HR Director,you would most likely inform the CEO that the firm's current promotion test is:
A) causing disparate treatment.
B) violating the Equal Pay Act.
C) violating BFOQ guidelines.
D) causing an adverse impact.

Question

Additional Case 3.1 
You have been hired as HR Director of a company with about 100 employees. As you begin to learn about the company, you discover that female managers are paid about 20% less than their male counterparts. When you ask why, the CEO explains that men have families to support and women are earning extra income. As you review personnel files, it becomes apparent that protected-class employees are promoted less often and have longer terms between promotions and raises than white employees. A test is used as part of the promotion process, and protected-class candidates always do about 25% worse on it than white candidates. Another test is used to screen job applicants. It screens out about 25% of white male applicants and about 50% of protected-class applicants.

The firm has a hazardous products division. Traditionally, women are not hired or promoted into that division because the CEO is concerned that the toxic nature of the production process will adversely affect the female employees' reproductive processes.

-Refer to Additional Case 3.1.As HR Director,you would most likely inform the CEO that the firm's current promotion test is:
A) causing disparate treatment.
B) violating the Equal Pay Act.
C) violating BFOQ guidelines.
D) causing an adverse impact.

Quizplus · Accepted Answer

The promotion test is causing an adverse impact, meaning that it disproportionately screens out protected-class candidates, indicating that it may not be job-related or necessary for the position. This violates Equal Employment Opportunity (EEO) guidelines and could result in a discrimination lawsuit. The best course of action would be to revise the test or find alternative methods of assessing job-related qualifications.