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As promised, today's post will be Part II of my Questions & Answers About Adverse Impact. In case you missed it on Tuesday, check out Part I here. When we left off, I was addressing whether or not it's legal to use a test that has adverse impact. So let's pick up from there:
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A few weeks ago, Baldor Electric was ordered to pay a $2 million settlement for an OFCCP applicant screening discrimination case. Investigators had determined that the company’s applicant screening process at its Fort Smith, Arkansas, facility had adverse impact on women and minorities. So I thought it might be a good time to talk about the background of adverse impact, how to measure it, and how to make sure your hiring process is legally defensible. But we don’t have to tackle it all at once – this is Part I, and you can read Part II in Thursday’s blog post.
In December of 2010, the Office of Federal Contract Compliance Programs (OFCCP) took the position that hospitals were subject to its jurisdiction as a result of contracts to provide care under TRICARE, the federal government’s healthcare program for active duty and retired military and their families. See Directive 293 from OFCCP Director Patricia Shiu.