Human Resource Blog

Job Transfers in Iowa

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I say it makes sense to assign Hispanic managers only to the stores in predominantly Hispanic neighborhoods. Our Human Resources department says that’s discrimination. Who is right?

According to the law, the HR department is right. It is discrimination to assign or promote employees based on ethnic group, country of origin or skin color under Title VII of the Civil Rights Act of 1964. While it may seem natural to expect that a Hispanic manager will work better with clients in a neighborhood that is largely Hispanic, the law considers it discrimination, and therefore illegal.

If you have a legitimate need for a specific skill, such as the ability to speak Spanish at a certain store, you should include that in the job posting. You should also offer a higher salary, since that person is more qualified. And, you should consider candidates of all ethnic backgrounds who are bilingual in English and Spanish, including those who are non-Hispanic.

Title VII applies to discharge, job training, pay, classification, referral, and other practices in the workplace, as well. And that includes transferring managers between stores. The law also declares it illegal to discriminate in many other respects, including the award of benefits to workers, such as time off, health insurance, discounts, and compensation.

Walgreen is the nation’s largest drugstore chain, and African-American pharmacists and managers there charged discrimination. They argued that they were only being promoted to positions in black neighborhoods. As a result, they said, they often found themselves in stores that are described as underperforming. And that means, they argued, that their chances for greater earnings, as well as other opportunities, were limited, compared to similar employees of other groups.

Walgreen, opting against admitting wrongdoing and choosing not to fight a long and expensive court battle, settled out of court and paid $20 million. The money was divided among more than 10,000 Walgreen workers, former and current, nationwide.

The suit was directed as stores in Kansas City, St. Luis,

Detroit, and

Tampa, but soon grew nationwide after it was converted into a class action suit. JH