HR and the Law in the News 
June 2010, Volume 9, Issue 6

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When Personal Isn't So Personal

 

Hot Hits Education Corner & Next Webcast

 

 FiveL Company Honored with Small Biz Award 

Brightlight!

Spotlight 

 

 

  

When Personal Isn't So Personal

When may an employer make employment decisions based on personal information? From credit checks to educational requirements to interpersonal skills or personal appearance -- they have all been in the news. Here are a few examples:

Employers' Use of Credit Information or Strict Educational Requirements

  • On May 12th, a U.S. Congressional House Subcommittee held a hearing on employers' use of credit information and H.R. 3149, the "Equal Employment for All Act." This bill proposes to prohibit employers from using credit information for employment purposes with four limited exceptions: (1) if the job requires national security or FDIC clearance; (2) if the job is with a state or local government agency that requires use of credit information; (3) if the job is a supervisory, managerial, professional, or executive position at a financial institution; or (4) when otherwise required by law.
  • On March 9th the U.S. EEOC's Office of Legal Counsel issued an informal discussion letter regarding whether employers' use of credit information disparately impacts or unlawfully discriminates against minorities, women or any legally protected group. The letter reads in part, "Thus, if an employer's use of credit information disproportionately excludes African-American and Hispanic candidates, the practice would be unlawful unless the employer could establish that the practice is needed for it to operate safely or efficiently." 
  • On February 19th the same Office issued a similar letter regarding whether an employer's use of a strict educational requirement for hiring (requiring a master's degree for a particular position) unlawfully discriminates.  That letter reads in part, "[The employer] could show that a strict master's degree requirement is job-related and consistent with business necessity by showing that it is 'necessary to the safe and efficient performance" of the [job]...Two relevant considerations are how effectively a master's degree predicts [job] performance, and whether the strict degree requirement applies to other people holding substantially similar jobs." The letter goes on to note that even if the employer is able to establish the above, it could still be liable for unlawful discrimination "if there is an available alternative that would equally effectively meet its business objectives."  What is an example of the latter?  Accepting related job experience in lieu of the academic degree.

Personal Appearance or Interpersonal Skills Issues

  • On May 24th a female employee (waitress) filed a claim in a Michigan state court charging her employer unlawfully discriminated her and intentionally inflicted emotional distress when the employer put her on "weight probation." 
  • The above is interesting as a recent CareerBuilder survey found that 43% of 4,400 respondents indicated they had gained weight at their current jobs!
  • On April 23rd the 6th U.S. Circuit Court of Appeals addressed whether an employer unlawfully discriminated against and defamed a worker over the age of 40 when it terminated him and hired an employee under the age of 40. By the employee's own admission, he had "numerous interpersonal conflicts with his peers." In this case, the court found in favor of the employer.

Lessons Learned?

Let business needs drive your employment decisions. This tip is not full-proof and almost nothing is.  But when an employer can demonstrate that it made its employment decision (to not hire or to fire) based upon business operations that's a good start.  The letters from the EEOC demonstrate this as they repeatedly refer to the employer's ability to show job-relatedness, consistency with business necessity, and safe or efficient business operations.  


 Hot Hits!! Education Corner

June's Public Seminars & Presentations

Presented by Christine V. Walters, MAS, JD, SPHR

Tuesday, June 1st, "HR and the Law for Maryland Employers," Owings Mills, MD 8:00 - 4:30 p.m. Pre-approved by HRCI for 6.5 general credit hours.  Nearly 70 seats sold! 

Wednesday, June 16th, "Legal Update" provided for the HR Association of Southern Maryland (HRASM).  Prince Frederick, MD 9:00 a.m. - noon

Monday, June 28th, "Employee Where Art Thou? The Latest News in Managing Disability & Leave Issues" presented during the 2010 SHRM Annual Conference, San Diego, CA.  10:45 a.m. - noon

 Want a sneak peek?  See a brief video clip of Ms. Walters in action. 

Is your professional or trade association looking for an engaging and dynamic speaker to address employment/HR issues?  Ali Carney, SPHR of Banyan Consulting LLC wrote the following regarding Ms. Walters' return presentation at their annual conference on May 19th, "Christine's presentation at our conference was fabulous. She is engaging, presents relevant information and encourages questions from participants. I am always eager to recommend her as a presenter!" Thanks Ali!

 Recent & Upcoming Client Training Programs 

"Effective Conflict Management Strategies" 

"Confidentiality & Ethics for HR Professionals"

NEXT WEBCAST!

June 23, 2010 10:00 - 11:00 a.m. EST

"Workplace Wellness Programs: Pitfalls & Proactive Practices"

Join this interactive program as we review: (1) the business case for workplace wellness programs; (2) related legal issues including ADA, ADEA, FMLA, GINA, HIPAA; (3) current trends; and (4) proactive practices for program administration.

Click here and then click on the "Upcoming" tab to register (still just $35 per person).

This webcast is pre-approved by HRCI for 1.0 general credit hour 

LAST MONTH FOR 2010 Annual Subscriptions!

Subscribe for the remainder of the year (June - November) and get all six (6) webcasts for the price of 5!  Get ONE FREE! Click here to register.

In the interim are you in need of HRCI credits?  Any of FiveL's webcasts archived in or after August 2009 are pre-approved for 1.0 credit hour (see individual, archived listings for strategic or general credit). Just $25 per person.

Use of this seal is not an endorsement by HRCI of the quality of the program. It means that this program has met HRCI's criteria to be pre-approved for recertification credit.


FiveL Company Honored with Annual Small Biz Award

On April 22nd FiveL Company was honored with the Baltimore Washington Corridor Chamber's 2009 Small Business of the Year award for "notable contributions and achievement in business and service within the Baltimore Washington Corridor." Founded in 1947, the BWCC is the only regional chamber in Maryland.


Bright Light

On May 7th the New York Times reported that the "Economy Gains Impetus as U.S. Adds 290,000 Jobs" noting this was the largest gain in four years. 



Spotlight

Heather Chism, HR Director/Senior Associate for Johnson, Mirmiran & Thompson recently rated the overall staff and management training program, "Maintaining an Inclusive Workplace" as "Excellent" and wrote, "You were great in pulling this together in a short period of time. I can't tell you how much we appreciate that." Thank YOU Heather!

Are you planning on-site or web-based training for your staff and/or management team members? Visit the website or call FiveL Company today for an estimate.


This newsletter does not constitute the rendering of legal advice. For legal guidance on any particular issue(s) you should consult with your company's legal advisor or contact FiveL Company directly.