Many Big Companies Ripe for EEOC Complaints

 

Sept. 2, 2011

Despite all the court cases, warnings and complaints filed at the Equal Employment Opportunity Commission, a new study shows big companies are guilty of favoritism in their promotion practices.

It’s true that certain people are identified and groomed for promotion. But a 2011 study by Georgetown University’s McDonough School of Business would indicate large companies need to be more sophisticated in their human resources programs.

My sense is that they’re leaving themselves wide open for legal action.

Ninety-two percent of the surveyed senior executives say they’ve witnessed favoritism. Eighty-four percent say they’ve seen it at their companies. But only 23 percent confess using the practice.

Research firm Penn Schoen Berland (PSB) conducted study headed by PSB’s Jonathan Gardner, who is also a grad student at the university.

“This study confirms what many have suspected – that favoritism plays a much greater role in employee advancement than companies normally portray,” Gardner said. “I hope this study will help us acknowledge the prevalence of favoritism in employee promotions so that we can find ways to better understand the role it plays.”

According to the school, 29 percent admitted they only considered one candidate in their last promotion of a person.

“When more than one candidate was considered, 56 percent said they already knew who they wanted to promote before deliberations,” said the school. “Not surprisingly, of that group, nearly all – 96 percent – report promoting the pre-selected individual.”

What were the reasons given for promoting an employee?

The top five answers:

• Has excelled in current position
• Leadership potential
• Job-related skills
• Strong interpersonal skills
• History of strong performance reviews

Gardner shows some understanding of the typical executive’s dilemmas.

“Employees should keep in mind,” said Gardner, “that despite widespread favoritism, objective measures such as past performance, leadership potential, and job-related skills are viewed as key criteria by those in charge of promotion decisions, and it is important for young workers to focus their efforts on these factors that are well within their control.”

In our litigious society, however, the risks are great. Not to mention employee morale if word gets out in the rumor mill.

Here’s a basic checklist – what to do if an EEOC complaint is filed:

1. Be comprehensive with detailed, strategic responses.
2. Have a paper trail for your HR decisions. Documentation is critical.
3. Make certain your responses are accurate.
4. Show your track record’s consistency in fair treatment of employees.
5. Respectfully education the EEOC about your business – don’t assume EEOC employees understand your actions.
6. Act with confidentiality. Demonstrate your respect for individuals’ privacy.
7. Respond promptly. Don’t delay and ask for extensions of your appeal.
8. Have good lawyer, and seek advice.
9. Assuming you have insurance including employment-practices liability coverage, keep your carrier in the loop.
10. Keep all relevant documentation.

So beware.

From the Coach’s Corner, here’s How to avoid EEOC Discrimination Suits.

“Discrimination is a disease.”
-Roger Staubach

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Terry Corbell is a business-performance consultant and profit professional. Click here to see his management services (many are available online). For a complimentary chat about your business situation or to schedule Terry Corbell as a speaker, why don’t you contact him today?

 

21 Quick Tips to Avoid the Dark Side of Management

Plus, the 4 Ways New Managers Misfire in Communication

 

News headlines from Seattle to New York are cause for some serious head slapping. The U.S. Equal Employment Opportunity Commission (EEOC) continues to be inundated with worker complaints.

Even the U.S. State Department has issued a critical report of an ambassador, a Seattle businesswoman who was a prolific fundraiser for the Obama election campaign. She was accused of countless personality conflicts, verbally abusing employees, and dubious liquor and travel expenses.

It’s hard to believe countless numbers of managers in the public and private sectors continue to generate complaints and legal action.

Consider a mere sample of headlines:

‘Abusive’ ambassador says she filed rebuttal EEOC Healthcare Bias Complaints on the Rise Pacific Seafood To Pay $85K To Settle Retaliation Suit EEOC sues Amtrak for gender discrimination Pregnant employee claims discrimination by Pizza Hut In 2010, nearly 100,000 charges – 99,922 to be exact – were filed with the EEOC. That’s just the tip of the iceberg. What about the issues employees haven’t filed with the EEOC? What about the incidents you see every day at your place of employment? It’s true that not all complaints are valid. Many aren’t. Some originate from mere office politics. Managing employees is difficult. So the purpose here is not to indict the managers who are professional – assiduous, empathetic, good motivators and make sure their workplace stays out of legal trouble. But the fact remains these headlines are indicators that many managers fail to perform their jobs. Another way to put it – managerial dysfunction. That’s often the case because a significant number of workers are mistakenly promoted into management. You’ve heard of The Peter Principle, right? People rise to their level of incompetence. University of Southern California professor and author Laurence J. Peter also theorized about what he called “percussive sublimation.” That’s when people are promoted to get them out of the way of high-performing workers. When, actually, they should be demoted to their level of competence. So many people don’t receive adequate professional management training or they don’t receive any at all. So what can be done? My prescription is lots of professional training and self study. Consider there are basic shortcomings of many new managers. They simply don’t understand human nature. There are four ways new managers misfire in communication, including: They don’t correctly address attitude problems among their employees. They don’t adequately follow organization policies or direction from their supervisors. Because of a lack of authority with peer managers, many fail to use persuasive tactics to resolve problems. Open communication is not used to issue directives to their staff – employees perform better when directives are explained well. Again, many obstacles to organization success could be avoided if managers were better students of human nature. They must learn to deal with know-it-all workers; shy people who aren’t assertive even if they have good ideas; or motivate workers who only view their tasks at the end of their nose and simply follow orders – no matter what the consequences. And managers need good listening skills, especially for the majority employees who are competent with good ideas and performance. The best managers create a positive environment and encourage the expression of ideas from their workers. In disagreements, they need to be assertive in managing disagreements.   Here are 21 quick tips: Keep an open mind. Don’t think or act like you know everything. If you’re a new manager, don’t make changes right away unless it’s critical to do so.   Practice listening. Know your employees. Get to know your staff. Walk the floor a couple of times a day. Engage your staff. Ask for their ideas. Communicate effectively to avoid unwelcome surprises. An added benefit – you’ll hear about problems early before it’s too late. Be approachable. Don’t flaunt your position. When an employee asks to talk with you. Let the person talk or set a more convenient time for you both. When the discuss starts, put the pen down. Show good listening skills. Maintain good eye contact.   Avoid the over-use of the pronoun, “I.” Look for opportunities to use the word, “we.” That goes for meetings and written communication. Try never to start a paragraph using “I.”  Recognize employee productivity. Always give due-credit for performance. Be assertive. Don’t procrastinate on threats to your staff or the organization. Deal effectively with politics. For every problem, anticipate a multitude of solutions. They might not all work, but be resourceful. Keep your ego in check. Understand the difference between being assertive vs. aggressive. Don’t be thin-skinned and don’t let fear motivate your actions. Remember an acronym for FEAR is frantic effort to avoid responsibility.  Timing and mode of communication are important. Know the time when it’s best to communicate matters and how to do it. Personal meetings are more productive than e-mails on introducing critical topics.   Respect your employees. Be fair.  Don’t under-estimate them. For example, if you have a cash-flow issue, talk with them about it and discuss options. Eliminate all possibility of discrimination.  Don’t confuse process with outcomes. Explain what’s going on without making rash promises you can’t keep, especially where it applies to remuneration. Budget your time. That goes for your employees in listening and delegation. If you’re bogged down in clerical work remember you are an unnecessarily expensive and wasteful manager. And budget your time effectively for interfacing with your boss.  Use diplomacy. Watch what you say and how you say it. Measure your words correctly with employees. Bosses don’t like to be told what to do. If you have suggestions about a sensitive subject to discuss with your boss, use phrases like “You might wish to consider.” Flaunt your human-mess. Take responsibility. If you should make a mistake flaunt it. Your boss and employees will respect your honesty. Make amends wherever appropriate ASAP. Don’t be a milquetoast. Remember people-pleasers are ineffective managers.  Consider the welfare of the organization to be paramount. Don’t let one or two employees disrupt the team.  Lead by example. Practice what you preach in values and productivity. Mentor and demonstrate the paths you want employees to take in their work. Show how it’s important to the bottom line.  Motivate with autonomy. Instead of micromanaging, explain parameters and let your employees make decisions and take actions.  Maintain confidences. Maintaining confidentiality where appropriate shows wisdom. If pointedly asked, say something like “I’m not free to comment now.”  Do your footwork before making controversial decisions. Good managers market important decisions and changes, personally, in a one-on-one basis. Remember many employees are apprehensive about change. Anticipate who will be the obstinate employees and their reasons. Your organization won’t be rife with rumors and other morale issues. Continually check your productivity. Regular assessments of your performance and your employees matter – for the welfare of your organization.  If you have profit and loss responsibilties, stay on top of financials. Understand your break-even analysis. Be a student of how to grow profits and your company’s assets. Keep a positive work-and-life balance. Otherwise, both your personal and professional lives will suffer. Encourage your employees to do the same. Treat your employees as assets – as human and intellectual capital – with respect and professionalism. You’ll avoid the dark side of management and you will be successful. From the Coach’s Corner, here is additional reading: Human Resources – Slow Motion Gets You There Faster Boss Checklist: 16 Strategies for a Competitive Edge Human Resources – Profit By Not Letting Your Stars Become Free Agents Leadership Strategies to Profit from Employee Respect How to avoid EEOC Discrimination Suits Human Resources: 12 Errors to Avoid in Evaluations Strategies for Productive Meetings to Improve Your Company’s Performance

Diverse Age Differences at Work Mean Return to Status Quo in Attitudes – Robert Half Study

 

Despite the 21st century’s widespread age differences in the workplace, at least one thing hasn’t changed – many attitudes of workers are similar. For example, employees are often most-interested in company stability, according to a study by Robert Half.

Sadly, for many companies, that might also be why 40 percent of respondents are apt to shop around in seeking a new job.

“There has been considerable focus on the differences among various generations, but our research confirms many similarities,” said Max Messmer, chairman and CEO of Robert Half International. “Understanding the values shared by nearly all employees, particularly in light of changing economic conditions, can help companies enhance their recruitment and retention efforts.”

The study involves more than 1,400 people working fulltime in North America. The respondents are either college graduates or are in school. Just over 500 are hiring managers. The demographics include baby boomers, aged 46 to 64; Generation X, 32 to 45; and Generation Y, 21 to 31.

Among the three generations, the study reveals five similarities:

• Job security are preferred over working for a community-minded firm or even a shorter commute
• Salary, company stability and benefits were the most salient
• Most-prized benefits – Healthcare and dental coverage, vacation time and matching 401 (k) plans
• The recession is the main reason for those planning to work past 65
• Diversity in work experience is believed to be beneficial

Here are the generational differences:

• Following the downturn, many plan to job hunt. The breakdown includes 36 percent of Generation Ys, 30 percent of Generation Xs, and 24 percent of baby boomers.
• Among the Generation X, 38 percent plan to upgrade skills and 33 percent percent plan to stay with their employers.
• For the respondents planning to work past 65, 54 percent are baby boomers, 46 percent are Generation X, and 39 percent are Generation Y.
• 34 percent of Generation X and 27 percent of baby boomers managed to add to their retirement nest eggs since the beginning of the downturn.
• Many are concerned about differences in coworker work ethics and balancing career with their lives. That’s 54 percent of baby boomers, 45 percent of Generation X, and 35 percent of Generation Y.

“Many employees, particularly Gen Y professionals, are biding their time in their current employment situations and plan to make a move when they feel the economy is on firmer footing,” said Brett Good, a Robert Half International district president. “Now is the time for employers to take action and outline career paths within their company for strong performers. Compensation reviews also should be conducted to ensure that pay is competitive.”

Well said.

If you want, you can get a copy of the study.

From the Coach’s Corner, if you want 18 strategies for better employee relations, see Leadership Strategies to Profit from Employee Respect.