Evans-Bridges Week 2 Legal Issues in the Workplace

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May 22, 2024

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Legal Issues in the Workplace Toccara Evans-Bridges College Name, Grand Canyon University PSY-565: Industrial/Organizational Psychology Dr. Paul Helmreich 07/27/2022 1
Legal Issues in the Workplace Protected Class and Adverse Impact Protection is always good especially in the sense of human rights. At one point in America not everyone was treated equally regarding working. There was discrimination against age, disability, race, origin, sex, etc., Thanks to the federal government and laws, there is now protection against certain actions in the workplace. “A protected class refers to certain groups of individuals protected by anti-discrimination laws, such as women, older workers, people with disabilities, minorities and others” ("Protected Class", 2022). In the year 2022, one would think that employers know better than to use discriminatory hiring practices; however, that is not the exact case. Companies like Hobby Lobby faced a discrimination suit in 2021 in their Olathe, Kansas location, by denying an employee their service animal during shifts and firing them because of their disability. Unfortunately, this was the case for more than one hundred businesses according to zippia.com. Aside from discriminatory practices there is something called “Adverse Impact,” occurs when a decision or practice has a negative effect on a protected group of people, even though the impact may be unintentional. “Adverse impact is often used interchangeably with ‘disparate impact’—a legal term coined in a significant U.S. Supreme Court ruling on adverse impact” (Hrala, 2022). A good example of this adverse impact is when an employer may place an ad for a job that requires a certain skill set, such as 5-10 years of experience this could make a certain set of people feel they are not qualified enough to apply since the average 21-year-old does not have the years of experience. 2
Subsection Heading To avoid adverse impact the Equal Employment Opportunity Commission (EEOC), Department of Labor, Department of Justice, and the Civil Service Commission in 1978 helped come up with a rule called the Four-Fifths Rule. "The agencies have adopted a rule of thumb under which they will generally consider a selection rate for any race, sex, or ethnic group which is less than four-fifths (4/5ths) or eighty percent (80%) of the selection rate for the group with the highest selection rate as a substantially different rate of selection," (Hrala, 2022). In simplest terms, the selected group for a position should be at least 80% of the protected group. Unethical Practices Even though there are anti-discrimination laws in place to help individuals avoid who are at risk of unfair treatment, during a hiring process there are some ethical things that can take place unintentionally that can have adverse effects. When a recruiter conducts and interview or creates a job posting, they must be careful because their unintentional decision can have dire consequences that can impact the company’s reputation and the recruiter reputation. Unethical practices in employee referrals, misrepresentation of job duties and posting jobs that do not exist are a small percentage of unethical situations that can tarnish the reputation of a company. Unethical employee referral programs. It is great when employees can submit or suggest a friend to be hired in a position and they gain some incentive if the friend stays for a certain amount of time; however, when someone who is at a senior level refer someone and that individual is hired, the subordinate could feel some level of obligation, for being hired. An extreme version of this is located in the U.S. Securities and Exchange Commission's 2015 investigation into the investment firm JPMorgan Chase & Co. The firm's client referral 3
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