In contrast to cases involving hiring discrimination, employment cases involving discriminatory salary allegations tend to present relatively few special data issues for the statistical expert. Generally, employers tend to keep data records on compensation issues that are sufficient for most statistical employment analyses. In these types of cases, the statistical expert will generally be most concerned with the specification of the underlying compensation process.
For example, in many of the cases both the plaintiff and defendant statistical experts will utilize the same employer salary and generally use the same class of statistical methodologies. The differences between the opposing statistical experts opinions frequently revolves around the specification of the compensation model and the employment actors included in the model.
Showing posts with label employment. Show all posts
Showing posts with label employment. Show all posts
Tuesday, September 30, 2008
Monday, September 29, 2008
Hiring discrimination and data
Similar to cases involving discriminatory pay allegations, discriminatory employment termination type cases present relatively few data related issues for the statistical expert. Like pay cases, most of the differences revolve around the specification of the statistical model of the employer’s practices. However, determining which protected and non-protected group members were actually eligible for a given reduction in force action does tend to produce differing opinions
Tuesday, September 23, 2008
Our damages paper makes the top 10 downloaded list in August!
Our paper entitled, "Back Pay and Front Pay Calculations in Employment Termination Cases: Accounting for Re-Employment and Mitigation Efforts" was recently listed on SSRN's Top Ten download list for
EBCPL: Compensation Law (Topic),
EBCPL: Employee Benefits Law (Topic),
EBCPL: Pension Law (Topic) and EPELL: Theoretical Perspectives on Employment & Labor Law (Topic).
EBCPL: Compensation Law (Topic),
EBCPL: Employee Benefits Law (Topic),
EBCPL: Pension Law (Topic) and EPELL: Theoretical Perspectives on Employment & Labor Law (Topic).
Tuesday, September 16, 2008
Discriminatory hiring allegations: Special Concerns
Statistical analyses involving hiring allegations tend to present a number of special issues. First, it is not uncommon for organizations to keep only cursory records on individuals who apply for a given job position. Consequently, special attention must be dedicated to the construction of the relevant applicant pool in these types of employment cases. In some instances in hiring analyses, the employer level hiring data is augmented with labor market availability information from government and other publicly available sources to provide a more probative analysis.
Second, in addition to the data issues in hiring cases, the definition of the relevant pool of qualified applicants is typically an issue of concern for the statistical expert. Generally speaking, it is important for the expert to ensure that the hiring analysis compares individuals who, but for their protected class status, would have a comparable probability of being hired. For example, in a case involving allegations of gender discrimination in faculty hiring at a university, factors such as the individual’s prior research and teaching experience would be factors to potentially consider in the construction of the qualified applicant pool.
Third, it is important to consider each of the stages that comprise a typical employer’s hiring process as well as the different factors that may effect the individual’s decisions at each stage of the hiring process. For example, many employers’ hiring processes are comprised of distinct stages that may include the application stage, interview stage, testing stage, and ultimately the selection stage. It is important to clearly define the hiring stages, as well as to determine the number of applicants in both the protected and non-protected group who are not only qualified but are truly interested, potential job candidates for the given position.
Second, in addition to the data issues in hiring cases, the definition of the relevant pool of qualified applicants is typically an issue of concern for the statistical expert. Generally speaking, it is important for the expert to ensure that the hiring analysis compares individuals who, but for their protected class status, would have a comparable probability of being hired. For example, in a case involving allegations of gender discrimination in faculty hiring at a university, factors such as the individual’s prior research and teaching experience would be factors to potentially consider in the construction of the qualified applicant pool.
Third, it is important to consider each of the stages that comprise a typical employer’s hiring process as well as the different factors that may effect the individual’s decisions at each stage of the hiring process. For example, many employers’ hiring processes are comprised of distinct stages that may include the application stage, interview stage, testing stage, and ultimately the selection stage. It is important to clearly define the hiring stages, as well as to determine the number of applicants in both the protected and non-protected group who are not only qualified but are truly interested, potential job candidates for the given position.
Tuesday, September 9, 2008
Using statistical evidence in employment cases (Part III)
(2) after accounting for relevant employment factors, does the individual’s protected class status remain a statistically important factor?
This question is typically used by the statistical expert when assessing the importance of the employee’s protected group status in the selection or pay process when there are observable employment related differences among the individuals being analyzed. For instance, it is generally recognized that an individual employee’s salary will tend to be related to factors such as the type of job performed, seniority, education, as well as company specific factors such as time in salary grade.
In these types of discrimination analyses, the expert will develop statistical models, such as linear regression models, to account for the effect that these employment factors and the protected group status collectively have on the selection or compensation process. In these types of models, a finding that the individual’s protected group member status remains a statistically important factor even after accounting for the observable employment related differences among the individuals, is typically viewed as suggestive of a nonneutral employment process.
This question is typically used by the statistical expert when assessing the importance of the employee’s protected group status in the selection or pay process when there are observable employment related differences among the individuals being analyzed. For instance, it is generally recognized that an individual employee’s salary will tend to be related to factors such as the type of job performed, seniority, education, as well as company specific factors such as time in salary grade.
In these types of discrimination analyses, the expert will develop statistical models, such as linear regression models, to account for the effect that these employment factors and the protected group status collectively have on the selection or compensation process. In these types of models, a finding that the individual’s protected group member status remains a statistically important factor even after accounting for the observable employment related differences among the individuals, is typically viewed as suggestive of a nonneutral employment process.
Friday, September 5, 2008
Hypothesis testing in employment discrimination cases (part I)
Generally, in an employment discrimination lawsuit, the statistical expert will conduct statistical tests that address one or both of the following employment related questions or hypotheses:
(1) if there was no discrimination against the protected group members, what would be the probability of observing the employment related disparity by random chance alone?
(2) after accounting for relevant employment factors, does the individual’s protected class status remain a statistically important factor?
(1) if there was no discrimination against the protected group members, what would be the probability of observing the employment related disparity by random chance alone?
(2) after accounting for relevant employment factors, does the individual’s protected class status remain a statistically important factor?
Monday, August 25, 2008
Collecting data in discrimination cases
Regardless of who the attorney is representing, it is important to provide the statistical expert with employment information that completely describes the employment processes that are being studied. Generally this will involve providing the statistical expert not only the hardcopy or electronic employment data that describes the statistical disparity, but in addition, the background information on the employer and the employer’s practices.
Typically, the background information will include information from sources such as electronic databases provided by the defendant, employer handbooks, written descriptions of the relevant selection processes, and depositions of human resource personnel and other key decision makers. If at all possible, engaging the statistical expert early in the discovery process typically will allow the expert to more adequately prepare a listing of the specific information needed in the employment analysis.
In most employment analyses the statistical expert will at a minimum require the following information about the defendant’s employment processes.
A. Employee level information. The employee level information required by the statistical expert includes not only the demographic and employment information, such as date of hire, salary grade, etc., for the plaintiff but also for all the employees in the organization being analyzed. This information will allow the statistical expert to construct comparison pools of ‘similarly situated’ employees.
B. Employer practices information. This type of information includes information about the factors that are incorporated into the employer’s selection or compensation processes. For instance, in cases involving discrimination in employee terminations, it is important to determine the specific formula or individual factors that were considered by the employer in the relevant reduction in force action.
C. Company specific information. This information generally includes company specific factors that describe the organizational differences between different divisions within the relevant analysis unit. For example, in some companies that closely tie financial performance to employee salaries, it is not uncommon to observe higher average pay levels in division that generate higher levels of revenue for the company. For larger organizations, the pay or salary grade structure for the company is also important information for the statistical expert.
Typically, the background information will include information from sources such as electronic databases provided by the defendant, employer handbooks, written descriptions of the relevant selection processes, and depositions of human resource personnel and other key decision makers. If at all possible, engaging the statistical expert early in the discovery process typically will allow the expert to more adequately prepare a listing of the specific information needed in the employment analysis.
In most employment analyses the statistical expert will at a minimum require the following information about the defendant’s employment processes.
A. Employee level information. The employee level information required by the statistical expert includes not only the demographic and employment information, such as date of hire, salary grade, etc., for the plaintiff but also for all the employees in the organization being analyzed. This information will allow the statistical expert to construct comparison pools of ‘similarly situated’ employees.
B. Employer practices information. This type of information includes information about the factors that are incorporated into the employer’s selection or compensation processes. For instance, in cases involving discrimination in employee terminations, it is important to determine the specific formula or individual factors that were considered by the employer in the relevant reduction in force action.
C. Company specific information. This information generally includes company specific factors that describe the organizational differences between different divisions within the relevant analysis unit. For example, in some companies that closely tie financial performance to employee salaries, it is not uncommon to observe higher average pay levels in division that generate higher levels of revenue for the company. For larger organizations, the pay or salary grade structure for the company is also important information for the statistical expert.
Wednesday, August 20, 2008
Our work in law school
Professor Bales, a law professor at Northen Kentucky University, will use our paper Back Pay and Front Pay Calculations in Employment Termination Cases: Accounting for Re-Employment and Mitigation Efforts in his classes. See his blog review of our work at his , Workplace Prof Blog.
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