In another major shift for workplaces, President Trump issued an executive order yesterday with huge implications for employment discrimination claims. For decades, employers could face liability for policies and practices that didn’t intentionally discriminate but had a “disparate impact” on a group of job applicants or employees based on a protected characteristic, such as race or sex. The president is now aiming “to eliminate the use of disparate impact liability in all contexts to the maximum degree possible.” Although courts nationwide apply the disparate impact theory of liability in employment discrimination claims – and the law hasn’t changed yet – we expect federal agencies to immediately halt related enforcement activities and take steps to influence broader reform. Here’s what employers need to know about this development and how it may impact your practices.
- Understanding Discrimination Claims...
- Key Aspects of the Executive Order...
- 7 Major Takeaways for Employers...
