Chern’s Assignment

Chapter 3: The Legal Context


<para>Although Ann and Ryan have always known that it is important to comply with equal employment opportunity legislation and other relevant employment laws, it has been 8 years since they conducted any sort of discrimination analyses at their company. They ask you to evaluate the sales associate position for any evidence of discrimination based on gender or ethnicity. Chern’s gives all department and store managers bias and diversity training and has never been sued for disparate treatment. Because it knows that adverse impact is still a risk, the company asks you to analyze its full-time sales associate hiring data at the company level for evidence of adverse impact.</para>

<para><link linkend=”app01table02″ preference=”1″ type=”forward”>Tables <xref linkend=”app01table02″ label=”A-2″><inst>A-2</inst></xref></link>, <link linkend=”app01table03″ preference=”1″ type=”forward”><xref linkend=”app01table03″ label=”A-3″><inst>A-3, and</inst></xref></link> <link linkend=”app01table04″ preference=”1″ type=”forward”><xref linkend=”app01table04″ label=”A-4″><inst>A-4</inst></xref></link> summarize the data you will need to use in your analyses. The data for the sales associate flow statistics are based on the previous 5 years of staffing across all Chern’s stores. Evaluate the stock and concentration statistics and use the four-fifths rule to analyze the flow statistics. In addition to your disparate impact analyses, be sure to recommend strategies that Chern’s can use to alleviate any discrimination you may find. There are disparate impact calculators on these Web pages: and that will help you make these calculations and understand the results for your flow analyses. You may find other tools online as well. </para></section>


Table A-2

Sales Associate Statistics Compared to the Relevant Population

Job Category: Sales Associates
  Current Sales Associates (%) Availability of Sales Associates in Relevant Population (%)
Men 50 40
Women 50 60
Whites 19 25
Blacks 18 25
Asians 32 20
Hispanics 27 25
Native Americans   4  5

Note: These percentages are for the entire Chern’s organization, not a single store. There are 14,000 full-time sales associates currently working at Chern’s.


Table A-3

Sales Associate Flow Statistics

  # Applicants # Hired
Men 64,438 7,890
Women 83,121 6,320
Whites 20,300 1,827
Blacks 14,355 3,158
Asians 14,210 1,423
Hispanics 13,668 1,640
Native Americans   1,411    127

Note: These statistics are for the entire Chern’s organization, not a single store, for the past five years.


Table A-4

Sales Associate Concentration Statistics



Sales Associates


Assistant Department Managers



Department Managers



Store Managers


Men 50 62 70 65
Women 50 38 30 35
Whites 19 27 30 33
Blacks 18 22 20 15
Asians 32 23 20 17
Hispanics 27 25 25 28
Native Americans   4   3   5   7

Note: These percentages are for the entire Chern’s organization, not a single store. See the Chern’s Human Resources section above for the number of employees in each position.</para></caption><tgroup cols=”4″ colsep=”0″ rowsep=”0″ align=”left”><colspec colnum=”1″ colname=”c1″ align=”left” colwidth=”150″/><colspec colnum=”2″ colname=”c2″ align=”left” colwidth=”150″/><colspec colnum=”3″ colname=”c3″ align=”left” colwidth=”150″/><colspec colnum=”4″ colname=”c4″ align=”left” colwidth=”150″/>



<listitem><inst>          </inst><orderedlist numeration=”loweralpha” spacing=”normal” inheritnum=”ignore” continuation=”restarts”><listitem><inst>  a. </inst><para>Use stock, flow, and concentration statistics to determine if any evidence of adverse impact exists.</para></listitem>

<listitem><inst>            b. </inst><para>Recommend strategies to alleviate any discrimination you find.</para></listitem></orderedlist></listitem>


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