There is no question that discrimination occurs in the workplace every day, both here in Ohio and around the country, and it can be implicit and even unnoticed in practice. As a result, the Equal Employment Opportunity Commission puts guidelines in place (known as the Uniform Guidelines for Employee Selection Procedures) to help employers determine whether there are discriminatory employment practices.
One of those guidelines in place is what is known as the “80% rule,” which was designed to help employers determine if they have been discriminatory in their hiring practices. The rule states that employers should be hiring protected groups (i.e. those who are different from white men in terms of ethnic group, race, or sex) at a rate that is at least 80% that of a non-protected group (such as white males). Specifically, the 80% rule dictates that the selection rate of a protected group should be at least 80% of the selection rate of the non-protected group.
Adverse Impacts and Enforcement
Determining whether there has been an adverse impact is based on the rates at which job applicants are hired. For example, if an employer hires 60% of white males applying for a particular job, but only 10% of the female applicants, the case could be made that there is a discrimination issue, as the rate of hiring female applicants is only a percentage of the rate of hiring male applicants, and that percentage is well below the 80% cutoff.
However, the rule has no real authority other than providing guidance so as to potentially call into question a company’s equal employment practices, as those who are not in compliance with it need only provide a legitimate reason as to why they cannot comply with practices that are designed to avoid adverse impacts in terms of substantial differences in employment outcomes for members of a specific group. Establishing legitimacy typically involves the employer justifying the result as being a business necessity, meaning that the procedure is essential to the efficient, safe operation of the business, and there are no alternative procedures that are substantially equally valid that would have a less adverse impact, or that it is job-related.
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Note that adverse impact does not just refer to hiring, but other employment practices, including development, promotions, training, layoffs, transfers, performance reviews, and more. Everyone has the right to the same opportunities in the workplace. If you or a loved one has experienced discrimination in the hiring or employment process due to their disability, our Columbus, Ohio, disability discrimination attorneys are here to help. Contact us today to set up a confidential consultation and find out more.
FAQs
This rule is called the 80% or 415th~ rule. If a race, sex, or ethnic group's rate of selection is less than 80% of the most. favored group, the group is experiencing adverse impact. (
What percentage of discrimination cases are won? ›
95% of EEOC district court cases are successful.
Although, as mentioned above, most cases are settled out of court. Many individuals who face employment discrimination may file an initial claim on their own (which may not be thorough or convincing) and then do not take further action.
What is the most common discrimination claim according to EEOC? ›
Retaliation is the most frequently alleged basis of discrimination in the federal sector and the most common discrimination finding in federal sector cases. As EEOC works to address this issue, you can help. Learn more about what constitutes retaliation, why it happens, and how to prevent it.
What is the 80% rule in affirmative action? ›
The rule states that employers should be hiring protected groups (i.e. those who are different from white men in terms of ethnic group, race, or sex) at a rate that is at least 80% that of a non-protected group (such as white males).
What constitutes unfair discrimination? ›
Unfair discrimination occurs when an employer shows favour, prejudice or bias for or against a person on a prohibited ground, including a person's race, gender, sex, pregnancy, marital status, family responsibility, ethnic or social origin, colour, sexual orientation, age, disability, religion, HIV status, conscience, ...
What is the 80 percent rule? ›
What is the 80% Rule? The 80% rule was created to help companies determine if they have been unwittingly discriminatory in their hiring process. The rule states that companies should be hiring protected groups at a rate that is at least 80% of that of white men.
What is the most common EEOC violation? ›
Of those complaints, a majority involved violations of Title VII, which forbids discrimination based on race, color, religion, sex and national origin. Another 34% of the complaints filed with the EEOC had to do with disability discrimination, while 15.6% involved age discrimination.
What is the burden of proof for EEOC discrimination? ›
The burden of proof ultimately rests with the aggrieved person at all times; however, there is a three- step process utilized by the EEOC and the courts when deciding if discrimination occurred or not.
What makes a strong retaliation case? ›
Adverse actions can include termination, demotion, reduction in pay, or other negative consequences. In order for an employee to have a strong retaliation case, they must be able to prove that the adverse action was a direct result of their protected activity.
What is the adverse impact 80 rule? ›
Measuring Adverse Impact: The Four-Fifths Rule
The Four-Fifths rule states that if the selection rate for a certain group is less than 80 percent of that of the group with the highest selection rate, there is adverse impact on that group.
The rule states that one rate is substantially different than another if their ratio is less than four-fifths (or 80%). In the example above involving a personality test scored by an algorithm, the selection rate for Black applicants was 30% and the selection rate for White applicants was 60%.
What is required to prove under utilization? ›
Some contractors declare underutilization when there is any difference between the availability percentage and the utilization percentage, while others conclude that underutilization exists when the number of minority or women incumbents in a particular job group is at least one whole person lower than the number ...
