You have a lot of decisions to make as a business owner, but the wrong decisions are illegal. If you have 15 employees or more, you have to follow equal employment opportunity laws. You can't discriminate against people for characteristics like race, gender or religion when you hire, fire, promote or hand out raises. The federal Equal Employment Opportunity Commission (EEOC) enforces the law, as do many state agencies.
Equal opportunity employment means not discriminating against employees or job applicants because of their age, race, gender, religion, nationality and similar protected characteristics. If an employee can prove you treat your staff unequally, you might have to pay out to settle the case.
What Is EEO?
The 1964 Civil Rights Act made it a federal crime to discriminate among employees based on "protected classes." The federal government and state governments have expanded the list of covered classes in the 50-plus years since. If you describe yourself as an equal opportunity employer in help wanted ads or on applications, that means you treat employees and job applicants equally, as the law requires.
Equal employment opportunity law bans several types of discrimination:
- Sex, including pregnancy, gender identity and sexual orientation
- National origin
- Age, if an employee is 40 or older
- Genetic information
It's also illegal to discriminate against someone for complaining about discrimination or suing over discrimination. Discrimination includes not just hiring and firing but promotion, harassment, getting training, and receiving wages and benefits.
Some businesses aren't required to offer equal employment opportunities. If you have 14 employees or fewer, you're not required to comply. Religious organizations such as churches or mosques can favor hiring members of their religion over nonbelievers. They're bound by all the other nondiscrimination requirements, though.
Enforcing the Law
Just because equal opportunity is the law doesn't mean all employers obey it. The EEOC has the authority to investigate employee claims that their employer discriminates. If the EEOC finds a complaint has merit, it tries to settle the charge; if that doesn't work, the commission can sue. State agencies do the same for state-level equal-employment laws, which may cover cases federal law does not.
Even a company committed to nondiscrimination may have employees who harass female employees, bully Latinos or insult Muslims. If one of your employees complains they're the target of discrimination, the smartest thing to do is take it seriously. Gather information, investigate the facts and make a fair decision even if you have to discipline a respected manager. If you can handle the complaint to the victim's satisfaction, there's less chance you'll face a lawsuit later.
- Asian business woman image by huaxiadragon from Fotolia.com