You are the new Compliance Representative in the HR Department. It is your primary goal to ensure the organization is compliant with laws and regulations in all areas including recruiting/hiring new people, employee safety, and fair labor practices for current employees. While you address compliance concerns in all departments, you report to the VP of Human Resources. Read the case study of Sarah Green and provide a two-part response to the VP of HR.
Part One: Read and analyze the scenario below. Write a report to the VP of HR summarizing the case and providing a clear argument that an EEOC act was violated. State which act applies to the case.
Part Two: Prepare an outline of a training session for hiring managers and for the pay and benefits specialists to prevent a repeat of the situation in the scenario.
Case Study
Sarah Green has been an accountant for 12 years. She worked in a small medical practice for two years after earning her BS in Accounting and then chose to work freelance for five years. For the past five years she worked at a large firm, Stokely and Associates, where she brought in more new clients than 92% of her colleagues and received a higher satisfaction score from clients than 90% of her coworkers.
Sarah had to move to a new city to care for her sick mother. This meant finding a new accounting position. She was excited to be hired at the large accounting firm, Parker and Mendez Accounting, LLC, right away. Unfortunately, she learned after 4 months that she was being paid less than her coworkers who had equal or less experience than she did. When she asked the hiring manager about the discrepancy, she was told that the organization’s policy is to pay in a range based on previous pay. The hiring manager did admit to being surprised that her previous salary was at the low end of the expected range given her successes and performance reviews, but the policy is there for a reason and making an exception defeats the purpose of the policy.
After researching her industry and old employer, Sarah learned that her previous employer regularly paid women less than men even when the women had more experience or brought in more clients. Her current pay was impacted by this discriminatory practice.
The report to the VP of HR should include two parts:
Part One
A summary of Sarah’s case.
Address which of the EEOC acts the previous organization violated.
An explanation of the ethical and legal obligations of the current organization.
A proposed solution for Sarah.
A proposed change in policy for determining starting pay at the current organization.
Part Two
An outline of a training session for all hiring managers and benefits and payroll specialists. Each of these sections should be included and explained briefly but with enough detail that the decision-makers reading the report are fully informed and can approve the training.
Introduction: Provide an overview of the training. Example: Excellence in Interviewing is a two-week online training that introduces the best practices in interviewing.
Scope: State how broad or narrow the focus of the training will be.
Objectives: List what participants will be able to do using “To + verb” statements. Example: To roleplay an effective phone interview. To write three behavioral interview questions that assess given criteria.
Training Method: Explain the format of the training. Online, face-to-face, blended, asynchronous or in real time or both.
Evaluation using Kirkpatrick’s Levels: Address each level of Kirkpatrick’s in detail. Share specific strategy to evaluating the proposed training.
Full Answer Section
Sarah's previous employer, Stokely and Associates, regularly paid women less than men even when the women had more experience or brought in more clients. Sarah's current pay is impacted by this discriminatory practice.
EEOC Act
The Equal Employment Opportunity Commission (EEOC) is a federal agency that enforces laws that prohibit employment discrimination based on race, color, religion, sex (including pregnancy, gender identity, and sexual orientation), national origin, age (40 or older), disability, genetic information, and retaliation.
In this case, Sarah was discriminated against on the basis of sex. Stokely and Associates paid her less than men who had the same or less experience. This is a violation of Title VII of the Civil Rights Act of 1964, which prohibits employment discrimination based on race, color, religion, sex, and national origin.
Ethical and Legal Obligations
Parker and Mendez Accounting, LLC, has an ethical and legal obligation to ensure that its employees are not discriminated against on the basis of sex. The company is subject to Title VII of the Civil Rights Act of 1964, which prohibits employment discrimination based on race, color, religion, sex, and national origin.
The company also has a legal obligation to comply with the Equal Pay Act of 1963, which prohibits sex-based wage discrimination. This means that the company cannot pay men and women different wages for the same work, or for work that is substantially equal.
Proposed Solution for Sarah
Parker and Mendez Accounting, LLC, should immediately correct the salary discrepancy between Sarah and her male coworkers. The company should also pay Sarah back pay for the difference in pay since she was hired.
In addition, the company should offer Sarah a promotion to a position that is commensurate with her experience and qualifications. The company should also provide Sarah with training and development opportunities to help her advance her career.
Proposed Change in Policy
Parker and Mendez Accounting, LLC, should change its policy for determining starting pay. The company should no longer base starting pay on previous pay. Instead, the company should base starting pay on the job requirements, the employee's qualifications, and the market rate for the position.
Training for Hiring Managers and Benefits and Payroll Specialists
Parker and Mendez Accounting, LLC, should provide training for all hiring managers and benefits and payroll specialists on equal employment opportunity laws and regulations. The training should cover the following topics:
- The importance of non-discrimination in the workplace
- The different types of discrimination that are prohibited by law
- The company's policies and procedures for preventing discrimination
- How to identify and report discrimination
The training should be interactive and engaging. It should include role-playing exercises and case studies. The training should also be repeated on a regular basis to ensure that all employees are aware of the company's policies and procedures.
Introduction
The proposed training session for hiring managers and benefits and payroll specialists will be a two-day online training that introduces the best practices in non-discriminatory hiring and compensation. The training will cover the following topics:
- The importance of non-discrimination in the workplace
- The different types of discrimination that are prohibited by law
- The company's policies and procedures for preventing discrimination
- How to identify and report discrimination
- How to conduct fair and impartial interviews
- How to assess candidates' qualifications without bias
- How to set fair and equitable pay rates
Scope
The training will be broad in scope, covering all aspects of non-discriminatory hiring and compensation. The training will be relevant to all hiring managers and benefits and payroll specialists, regardless of their level of experience or expertise.