Civil RightsCivil Rights(Title VII/1964 & (Title VII/1964 &

1991)1991)Group 1Group 1

Ken Abbott, Andy Brown,Ken Abbott, Andy Brown,Lindsey Heinonen, Eli Lindsey Heinonen, Eli

McDaniel, Amanda RingMcDaniel, Amanda RingApril 9, 2007April 9, 2007

Presentation OutlinePresentation Outline

• Overview of Civil Rights ActOverview of Civil Rights Act• 19641964• Title VIITitle VII• Equal Employment Opportunity Equal Employment Opportunity

CommissionCommission• 19911991• Managerial ImplicationsManagerial Implications

Civil Rights Act of 1964Civil Rights Act of 1964

• December 1, 1955 – Rosa Parks refused to give December 1, 1955 – Rosa Parks refused to give up her seat on a public busup her seat on a public bus

• Landmark legislation in 1964 at height of Civil Landmark legislation in 1964 at height of Civil Rights movementRights movement

• Stop discrimination based on race, color, Stop discrimination based on race, color, religion, sex, or national origin in areas of voting, religion, sex, or national origin in areas of voting, employment, and public servicesemployment, and public services

Civil Rights Act of 1964Civil Rights Act of 1964

• Title ITitle I - Voting rights - Voting rights• Title IITitle II - Public accommodations - Public accommodations

involved in interstate commerceinvolved in interstate commerce• Title IVTitle IV - Desegregation of public - Desegregation of public

schoolsschools• Title VITitle VI - Prevention of discrimination - Prevention of discrimination

by government agencies that receive by government agencies that receive federal fundingfederal funding

Title VII of the 1964 Civil Title VII of the 1964 Civil Rights ActRights Act

• An employer cannot discriminate An employer cannot discriminate based on race, color, religion, sex, or based on race, color, religion, sex, or national originnational origin– Hiring, firing, promotion, compensation, Hiring, firing, promotion, compensation,

terms, conditions, and privilegesterms, conditions, and privileges

• Prohibits discrimination due to Prohibits discrimination due to association with protected groupsassociation with protected groups

• Prohibits retaliationProhibits retaliation

Title VII of the 1964 Civil Title VII of the 1964 Civil Rights ActRights Act

• ExceptionsExceptions– Bona Fide Occupational Qualification Bona Fide Occupational Qualification

(BFOQ)(BFOQ)• Only for religion, sex, or national originalOnly for religion, sex, or national original• Never for race or colorNever for race or color

– Three Elements of BFOQThree Elements of BFOQ• Direct relationship between ability to perform Direct relationship between ability to perform

duties and protected groupduties and protected group• Exception must relate to the essence of the Exception must relate to the essence of the

businessbusiness• No less restrictive alternativeNo less restrictive alternative

Equal EmploymentEqual EmploymentOpportunity Commission Opportunity Commission

(EEOC)(EEOC)• Five members, appointed by President, Five members, appointed by President,

confirmed by Senateconfirmed by Senate• Investigate, mediate, and file lawsuits on Investigate, mediate, and file lawsuits on

behalf of employeesbehalf of employees• Must file with EEOC within 180 days of Must file with EEOC within 180 days of

complaintcomplaint• If commission finds reasonable cause, it If commission finds reasonable cause, it

will attempt to reach an agreement will attempt to reach an agreement through conciliationthrough conciliation

• Fair Employment Practices Agencies Fair Employment Practices Agencies (FEPAs)(FEPAs)

Civil Rights Act of 1991Civil Rights Act of 1991

• In 1980s, court rulings had effect of limiting In 1980s, court rulings had effect of limiting protection of women and minority groupsprotection of women and minority groups

• Addresses the issue of burden of proofAddresses the issue of burden of proof• Plaintiff demonstrates that a practice has a Plaintiff demonstrates that a practice has a

disparate impactdisparate impact– Show significant disparity of proportion of Show significant disparity of proportion of

minority between general labor pool and minority between general labor pool and proportion hiredproportion hired

– Show general job requirement is causing the Show general job requirement is causing the disparitydisparity

• Employer then has burden of proving Employer then has burden of proving requirement is job relatedrequirement is job related

Civil Rights Act of 1991Civil Rights Act of 1991

• Act makes it easier to sue for money Act makes it easier to sue for money damagesdamages– Compensatory damagesCompensatory damages– Punitive damagesPunitive damages

• Global implicationsGlobal implications– Law applies to U.S. citizens employed in a Law applies to U.S. citizens employed in a

foreign country by a U.S. controlled firmforeign country by a U.S. controlled firm• Cannot violate law of host countryCannot violate law of host country• Difficult to investigate because of training, Difficult to investigate because of training,

lack of standards, cooperationlack of standards, cooperation

Managerial ImplicationsManagerial Implications

• Goal: limit liability (direct and Goal: limit liability (direct and indirect)indirect)– Clear, written policyClear, written policy– Train employees and supervisorsTrain employees and supervisors– Process to reportProcess to report– Process to investigate & correctProcess to investigate & correct

• Employee retentionEmployee retention• Create company culture - leadershipCreate company culture - leadership• Diversity as a competitive advantageDiversity as a competitive advantage

Trends & Current IssuesTrends & Current Issues

- Number of settlements increasingNumber of settlements increasing- 3.6% – 11.7% from 1997 - 20063.6% – 11.7% from 1997 - 2006

- ~ 60% no reasonable cause~ 60% no reasonable cause- ~ 6% reasonable cause~ 6% reasonable cause

- ~ 1 in 4 conciliate, 3 in 4 don’t – litigation?~ 1 in 4 conciliate, 3 in 4 don’t – litigation?

- Monetary benefits Monetary benefits - $90M to $145M annually in last 10 years$90M to $145M annually in last 10 years- Does not include litigationDoes not include litigation

Source: www.eeoc.gov, Title VII statistics

Questions?Questions?