EEOC Reportedly Dropping Disparate Impact Cases

Cases where prospective, current or former employees can show that they were the victims of discriminatory intent present fairly straightforward legal issues. However, there are other types of discrimination claims that are based on overall demographics and the effect that ostensibly neutral policies might have had on the makeup of the workforce. These are referred to as “disparate impact” cases. 

Seemingly innocuous hiring and promotion standards, such as standardized tests or physical fitness requirements, might work against certain legally protected groups. If there is no business necessity for a specific policy, or if an equally effective, less discriminatory alternative exists, it could give rise to a disparate impact claim. 

Though these actions have been brought for decades, an internal memo obtained by the Associated Press indicates that the U.S. Equal Employment Opportunity Commission (EEOC) plans to stop investigating complaints premised on disparate impact and to discharge existing matters of that type. The memo aligns with an earlier directive from President Donald Trump calling for disparate impact actions to be deprioritized.  

Despite the instructions in the memo, legal authorization still exists for disparate impact claims under statutory and case law. Private plaintiffs and state or local civil rights agencies may pursue matters involving potential disparate impact regardless of EEOC investigative priorities. Regulators from federal agencies beside the EEOC could also take up cases of purported bias stemming from facially neutral standards. Of course, even the EEOC might go back to reviewing these issues if administration priorities change. 

If you didn’t get the job or promotion that you wanted, but are not aware of a policy created to discriminate against someone like you, it might be worthwhile to explore a disparate impact case. Hiring tests, educational and credential requirements, criminal history and credit checks, AI-enabled screening tools and productivity metrics that don’t seem to relate to actual job duties could be suspect. Taking the time to discuss your circumstances with a qualified attorney might help you decide whether to pursue further legal action.

Kardell Law Group represents workers in discrimination claims based on disparate impact, as well as other employment law matters. Contact us today to learn about your legal options.