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Thanks to the hard work of employers everywhere, workplace culture has become more and more inclusive in recent years. As we strive to do right by our employees, it’s important to be wary of common mistakes that could inadvertently lead to EEOC violations.
The Equal Employment Opportunity Commission (EEOC), prohibits employers from discriminating against employees or applicants based on their:
In this article, we’ll discuss what could happen if a complaint is raised against your company for EEOC violations, and more importantly, how you can make sure it doesn’t happen. We’ll also show you where to turn to make sure your practices are EEOC-compliant.
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It’s a common misconception that if a company has done nothing wrong, an EEOC complaint can’t hurt them. Unfortunately, this perception is ill-informed. Exactly how does an EEOC complaint hurt an employer, even when they aren’t in the wrong?
Even if your company and its management team haven’t committed any EEOC violations, defending a complaint can present a massive drain on your company’s resources.
The process can last months and affect your team’s productivity quarter after quarter. It can also lead to negative publicity, legal expenses, and investigations that get in the way of your company running normally. In many instances, EEOC investigations involve pulling current employees in for interviews, which could interrupt your operations.
If your organization is found to have committed an EEOC violation, you could face steep penalties. Here are some of the most common penalties assessed against employers who have been found to have committed EEOC violations:
In fiscal year 2022, the latest year for which full data is available, there were 73,485 EEOC charges filed against employers. Of those charges, many involved two or more EEOC-protected traits. This is how the charges broke down:
Here are a five common mistakes employers make that may lead to (or create support for) EEOC violations:
Job postings can be a source for red-flag terms and phrases that showcase latent discrimination. Even if your organization’s intent was not to violate the EEOC, certain language can work against you if an EEOC complaint is filed.
Consider the following examples of wording to avoid:
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Many organizations recruit via word of mouth, employee referrals, or other limited sources. While this practice isn’t illegal in and of itself, if your employee demographics become skewed, you could be practicing discriminatory hiring in violation of EEOC guidance. Consider the following example from EEOC.gov:
“An employer's reliance on word-of-mouth recruitment by its mostly Hispanic workforce may violate the law if the result is that almost all new hires are Hispanic.”
To diversify your hiring pool, seek out qualified candidates from multiple sources.
Pre-hire assessments are growing in popularity, and for good reason. They can help determine personality, aptitude, and culture fit. However, employers should tread carefully to ensure that their pre-hire assessments aren’t disproportionately excluding groups of applicants, even inadvertently, based on EEOC-protected demographics.
Under the law, pre-hire assessments must be job-related. For example, employers should not use pre-hire assessments that test mental health and exclude individuals with certain disabilities. As a rule of thumb, if a pre-hire assessment could eliminate applicants who would otherwise be capable of fulfilling the duties of the job they’re applying for, the assessment should not be used.
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Even if it isn’t a company’s official policy to base pay and promotions on EEOC-protected demographics, the practice could be alive and well. Your payroll and promotion selections should be reflective of the merits of your employees, not their demographics. If they aren’t, the EEOC may find support for a complaint made against you.
For example, it’s fundamental that women and men should be given equal pay for equal work. In many organizations, however, this concept isn’t fully realized. To avoid latent discrimination that could land you in hot water, examine your payroll for imbalances that can’t be explained by experience, responsibilities, or workload.
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The EEOC works hand-in-hand with the Americans with Disabilities Act (ADA) to prevent discrimination against individuals with disabilities in the workplace. The same actions (or inactions) can bring about an EEOC complaint or penalties under the ADA.
The law requires employers to make reasonable accommodations for applicants or employees with disabilities. Not making a good-faith effort to make accommodations is a common mistake employers make.
According to the United States Department of Labor, a reasonable accommodation is defined as a “modification or adjustment to a job, the work environment, or the way things are usually done during the hiring process.” Whether an accommodation is “reasonable” or not is a fact-intensive question that considers an employee’s needs and abilities as well as an employer’s industry, location, employee headcount, capital resources, and other specifications.
It’s always best to consult with experienced HR Compliance experts if you have questions about the right call to make.
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Even the most well-meaning businesses could be unknowingly out of compliance with EEOC guidelines. At Axcet, we take a proactive approach to risk mitigation. We’re here to help you identify and fix non-compliant employment practices so you can avoid EEOC violations.
Learn more about what you can do to prevent discrimination in your workplace, and how Axcet HR Solutions can help. Schedule a consultation with us today.
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