Lesson 8: The Legal Environment

What different forces are the catalysts for modifying or enhancing the legalities of HR?
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Terms in this set (68)
What different forces are the catalysts for modifying or enhancing the legalities of HR?
Legislative Initiative
Social Change
Judicial Rulings
What are the 3 steps in which the legal and regulatory environment of HRM in the US emerges?
1) Creation of a new regulation
2) Enforcement of new regulation
3) Practice and Implementation of regulations in organizations
Creation of a New Regulation (What is this?)
The 1st step in which the legal and regulatory environment of HRM in the US emerges.

This regulation can come from a new law or statue passed by national, state, or local government bodies (Usually National)
Enforcement of new regulation (What is this?)
The 2nd step in which the legal and regulatory environment of HRM in the US emerges.

To be effective in enforcing a new regulation, the enforcement agency must have an appropriate degree of power.

Enforcement Agencies: The equal Employment Opportunity Commissioner, Department of Labor, etc.
Practice and Implementation of regulations in organizations (What is this?)
The 3rd step in which the legal and regulatory environment of HRM in the US emerges.

Organizations and managers must implement and follow the guidelines that the government has passed and that the courts regulatory agencies attempt to enforce.
Why was Equal Employment Opportunity created?
To protect individuals from illegal discrimination in regards to job opportunities, pay, performance appraisals, promotion opportunities, etc.
Forms of Illegal Discrimination
Disparate Impact
Retaliation (Whistle Blowing)
Disparate Treatment
Pattern or Practice
When is it to discriminate an employee?
When the discrimination ion is purely job related.

Ex: Based on performance, seniority. and when applied objectively and consistently
What is illegal discrimination?
The result of behaviors or actions by and organization or managers within an organization that cause members of a certain class to be treated unfairly differentiated from others.
Civil Rights Act of 1964 (Title VII)(Title 7)
Created to ensure that equal opportunities would be available to everyone.

This act state that is illegal for an employer to fail or refuse to hire any individual, to discharge any individual, or to discriminate in any other way agains any individual with respect to any aspect of employment relationship on the basis of that individuals race, color, religious beliefs, sex or national origin.

This includes: compensation, employment terms, working conditions, and various other privileges of employment.
What is the most significant single piece of specifically affecting the legal context for HRMCivil Rights Act of 1964 (Title VII)(Title 7)What organizations does the Civil Rights Act of 1964 (Title VII)(Title 7) apply to?All organizations with: - 15 or more employees working 20 or more weeks a year and that are involved in interstate commerce - State and local governments - Staffing Agencies - Labor OrganizationsWhy was the Equal Employment Opportunity Commission (EEOC) created?To enforce the various previsions (Title VII) (Title 7) of the Equal opportunity ActDisparate Treatment (What is this?)A form of discrimination that exists when individuals in similar situations are treated differently and when the differential treatment is based on the individuals race, color, religion, sex, national origin,age, or disability statusWhen can an organization legitimately treat members of different groups differently?When someones personal characteristic affects a persons ability to perform the job. Ex: A producer casting a movie can legally refuse to hire an elderly person to play the role of a young person.What is Bona Fide Occupational Qualification (BFOQ)?When an organization can legitimately treat members of different groups differently based off of age, race, color, religion, sex national origin, age, or disability. Ex: A producer casting a movie can legally refuse to hire an elderly person to play the role of a young person. Although, an organization can never discriminate due to to bases of customer / client preference. Ex: A local bar cannot hire only young and attractive people as servers based on the argument that their customers prefer young attractive servers.Business Necessity (What is is?)Is a practice that is important for the safe and efficient operation of the businessDisparate Impact (What is it?)Discrimination that occurs when an apparently neutral employment practice disproportionally excludes a protected group from employment opportunities. Ex: In order to to reach items on a high shelf, all employees must be at least 6 feet tall .(This will affect female as well as certain ethnic groups applicants more severely) - They can have a rule to wear a hairnet Ex: In order to maintain the cleanthliness in a food service organization, no employees can have hair covering his or her ears (This will affect female applicants more than male applicants) - They can have a step ladderWhat is the most common argument for charges of discrimination brought under the Civil Rights Act ?Disparate ImpactWhat is a Prima Facie Case?This is a case of discrimination against a company The company is considered at fault unless it can demonstrate another legal bias for a decision. Proof rests with the company to defend itself rather than with the plaintiff trying to prove discrimination.Four-Fifths Rule (What is it?)The most common approach to establish a prima facie case. This suggests that disparate impact exists if a selection criterion results in a selection rate for a protected class that is less than four-fifths (80%) of that for the majority group.Geographical Comparisons (What is this?)Involves comparing the characteristics of the potential pool of qualified applicants for a job (focusing on characteristics such as race, ethnicity, and gender) with those same characteristics of the present employees in the job. If a potential pool of applicants in the labor market for a bank teller job is 50% African American, than a bank hiring from that market should have around 50%African American Tellers.Where do you find the potential pool of qualified applicants information based on location?Census Data for the AreaMcDonnell - Douglas Test (What is it?)A basis for establishing a Prima Facie CaseWhat are the 4 steps for the McDonnell - Douglas Test?1) Applicant is a member of a protected class 2)Applicant was qualified for the position the applied to 3)The individual was turned down for the job 4)The company continued to seek other applicants with the same qualificationsPattern or Practice Discrimination (What is this?)A form of disparate treatment that occurs on a class wide or systemic basis To demonstrate pattern or practice discriminations, the plaintiff must prove that the organization intended to discriminate against a particular class of individuals. Ex: A supervisor has a manger doodle around a logo of any application completed by an African American to eliminate all African American applicants from further consideration.Retaliation (What is it?)When an organization takes action against an employee that has opposed an illegal employment practice, or has filed suit against a company for illegal discrimination.. Also known as "Whistle Blowing"Protected class (What is it?)A class that consists of all individuals who share one or more common characteristics as indicated by the law. Most Common classes: race, color, religion, gender, age, national origin, disability status, military veteran status.What is the "Ban the Box" Bill?This refers to the box that stated "Check if you have ever been convicted of a crime" This bill prohibits employers from inquiring about a candidates criminal record until the candidate has been offered a conditional offer of employment. After s conditional offer has been made, employees can conduct background checks but can only deny employment on the basis of of criminal records where its proven to be job relatedAffirmative Action and Reverse Discrimination (What is it? - Broad)When When courts try to reverse the acts of past discrimination after being charged with illegal discriminationAffirmative Action (What is it?)Positive steps taken by an organization to seek qualified employees from unrepresented groups in the workforce. This can be done with or without charges of illegal discriminationUtilization Analysis (What is it?)This is the 1st element of an Affirmative Action program This is a comparison of the racial, sex, and ethnic composition of the employers workforce compared to that of the available labor supply. (This needs to be done for each group of jobs)Sexual Harassment (Definition)Defined by the EEOC as unwelcome sexual advances in the work environment This is up to the employer to change the environment by warning, reprimanding, and perhaps firing the harasser.What are the 2 types of sexual harassment?1) Quid Pro Quo Harassment 2) Hostile Work Environment A company can not claim "ignorance" or that they did not know about the sexual harassment. (Sexual Harassment is illegal and it is the organizations responsibility to control it)Quid Pro Quo HarassmentA form of sexual harassment when the harasser offers to exchange something of value for sexual favors. Ex: Boss tells employee they will recommend them for a promotion if the employee sleeps with the bossHostile Work EnvironmentA form of sexual harassment because of a climate or culture that is punitive towards people of a different gender. EX: A predominately male office has Playboy posters hangingEqual Pay ActThis act clearly outlaws differential pay for the male and female employees doing essentially the same job. This act also applied to age discrimination and discrimination based off of a disability. Companies also can not give different title to the same job functions to get around thisAge Discrimination in Employment Act (ADEA)This prohibits discrimination against employees 40 years of age and older. This is up to the employee to prove they have been discriminated.Pregnancy Discrimination ActThis Act was passed to protect pregnant women from discrimination is the workplace. Women can not be refused a jobber promotion, be fired, or discriminated against due to being pregnant (or having an abortion). She also can not be forced to leave employment with the organization as long as she is physically able to work.Americans with Disabilities Act (ADA)This Act prohibits discrimination based on disability in all aspects of the employment relationship such as job application procedures, hiring, firing, promotion, compensation, and training as well as other employment activities such as advertising, recruiting, tenure, layoffs, leave and benefits. The organization must make reasonable accommodations for disabled employees as long as they do not pose an undo burden on the organization.How does the ADA define "Disability"?1) a mental or physical impairment that limits one or more major life activities 2) The record of having such an impairment 3) Being regarded as having such an impairmentFamily and Medical Leave ActThis law requires employers with more than 50 employees to provide as many as 12 weeks of unpaid leave for employers: 1) after the birth or adoption of a child 2) to care for a seriously ill child, spouse, or parent 3) if the employee is seriously ill The organization must also provide the employee with the same or comparable job on the employees return This also requires the organization to pay the healthcare coverage of the employee during the leave (If the employee does not return, the employer can require the employee to reimburse these health-care premiums.Based on the Family and Medical leave act, who can the organization exclude from coverage?1) Key Employees or the highest paid 10%. This is because if these individuals were granted leave, it would cause the organization economic harm 2) Employees that have not worked an average of 25 hrs/ week for the past 12 monthsThe EEOC is a Division of _______________The Department of JusticeWhat are the 3 major functions of the EEOC?1. Investigating and resolving complaints about alleged discrimination 2. Gathering information regarding employment patterns and trends in U.S. buisness 3.Issuong information about new employment guidelines as they become relevantWhat is the OFCCPThe Office of Contract Compliance ProceduresFair Labor Standards Act (FLSA)This Act Established minimum hourly wage for jobsThe Occupational Safety and Health Act (OSHA)A part of legislation regarding worker safety and health in organizations.glass ceilingAn invisible barrier that prevents women, members of minority groups, or people in other protected classes from reaching the highest positions in an organization.What is one legitimate defense against a discrimination suit?(BFOQ) Bona Fide Occupational QualificationWhat is punitive action taken by a company against an employee who files a suit?RetaliationWhat is the most important law affecting HR managers?Title VIIWhat are factors or characteristics prohibited from being causes for discrimination or harassment?Protected ClassGriggs vs. Duke Power, is a landmark case for determining what?Disparate ImpactTo qualify for coverage under the ADA, your employees must meet these conditions:- They have a physical or mental impairment that substantially limits one or more major life activities. These include activities such as walking, seeing, hearing, speaking, breathing without aid, caring for themselves, performing manual tasks, learning, or working. - They have a history or record of such an impairment. - They are regarded by other people as having such an impairment.What are Executive Orders?Orders the President gives to federal administrative agencies. They don't require the approval of Congress, but they have the same legal weight as laws passed by Congress.Executive Order 11246Simply states that if you are a federal contractor, you cannot discriminate based on race, color, religion, sex, or national origin. Also, if you have contracts for more than $50,000, you must have a written Affirmative Action Plan. This was issued by President Lyndon Johnson.Executive Order 11478Requires the federal government to base employment policies on merit and avoid considering race, color, sex, religion, or national origin. In other words, the federal government— like a corporation—cannot discriminate in employment practices. This was issued by President Richard Nixon.Jack has worked for a lumber company 25 years longer than Mary. While they do the same job, Mary finds out that Jack is making more money than she is. Why is Jack's company allowed to pay him more than Mary? A) Jack has more seniority on the job than Mary. B) Jack belongs to a protected class. C) Jack is older. D) Jack is a man.A) Jack has more seniority on the job than Mary.Alice applied for a position as a receptionist. The individual who interviewed her mentioned that Alice was "older than what we're looking for." What law did the interviewer violate? A) EO11246 B) ADA C) ADEA D) HIPAAC) ADEASharon has been working for you for one year. She tells you she is expecting her first baby and will need to take time off for visits to the doctor. You tell her that she will need to bring a note from her doctor for each visit, although you don't require other employees to do this when they visit a doctor for illnesses or injuries. What law are you violating? A) Age Discrimination in Employment Act B) The Pregnancy Discrimination Act of 1978. C) Americans with Disabilities Act. D) Equal Pay Act.B) The Pregnancy Discrimination Act of 1978.Which of these companies can use a BFOQ as a defense against a charge of discrimination? A) A hospital that hires only female nurses because patients feel more comfortable around them. B) An accounting firm that hires only workers under 40 because older workers have more health problems. C) A theater that hires only female actresses for a play in which all of the characters are women. D) A restaurant that employs only younger waitresses because they get better tips than older waitresses.C) A theater that hires only female actresses for a play in which all of the characters are women.Which of these companies is in violation of the four-fifths rule? A) A factory that interviews 11 men and 11 women for a stocking job and then hires eight men and seven women. B) A hospital that interviews 30 men and 32 women for a nursing position and then hires 15 men and 16 women. C) A drug company that interviews eight male scientists and seven female scientists and hires all of them. D) A "big box" store that interviews 21 men and 20 women for a stocking job and then hires 14 men and seven women.D) A "big box" store that interviews 21 men and 20 women for a stocking job and then hires 14 men and seven womenSue is a former employee of yours. She had poor attendance as well as poor evaluations over the last year. After several documented attempts were made to help her improve her performance, the decision was made to terminate her last month. Sue is over 40 years of age. She believes that your company terminated her because of age and says she plans to register a claim against your company. How many days does Sue have to file a complaint with the EEOC? A) 300 Days B) 180 Days C) Up to 1 year D) 60 DaysB) 180 DaysSexual harassment would typically include all except which of the following? A) Making jokes about a particular gender. B) Unwelcome individual advances for a date. C) Sexual favors in return for something of value. D) Meeting colleagues for dinner after work hours.D) Meeting colleagues for dinner after work hours.Which of the following would probably not be covered by the Americans with Disabilities Act? A) Substance abuse B) Cancer C) Blindness D) DeafnessA) Substance abuseThe Family and Medical Leave Act requires employers to provide which of the following for employees under certain emergency circumstances? A) Up to 12 weeks paid leave B) Up to 4 weeks paid leave C) Up to 4 weeks unpaid leave D) Up to 12 weeks unpaid leaveD) Up to 12 weeks unpaid leaveA startup firm is growing rapidly, but doesn't have a budget that allows hiring of permanent employees yet. What staffing model can allow for flexible and affordable coverage in the meantime? A) Using a temporary service. B) Hiring independent contractors C) Using college interns D) All of these models would provide flexible and affordable coverage.D) All of these models would provide flexible and affordable coverage.