Disparate Treatment vs Disparate Impact
Disparate treatment is intentional discrimination based on a protected characteristic. Disparate impact occurs when a policy that is neutral on its face results in a disproportionate negative effect on a protected group. Both concepts are widely recognized in labor law and in company policy as grounds for concern and action.
Examples of disparate treatment include a decision to hire or promote based on race, gender, or other protected traits rather than qualifications. Disparate impact can arise from exams, screens, or rules that unintentionally limit access for a group without evidence that the rule is essential to the job.
Employer Obligations
Employers should apply neutral policies consistently, provide accommodations when needed, monitor for adverse effects, and train managers to recognize bias. Document decisions to demonstrate fairness and avoid bias in outcomes.
Note that laws vary by region. This lesson introduces general concepts and aligns with standard policy practices. Always corroborate with local statutes and the organizations HR policy.