Wde Case Study Ron Pov

WDE Case Study

Ron POV -- Disparate Treatment Claim

Claim -- Ron Whyme, 53, is an experienced Regional Center Manager for WDE Insurance Company. His previous appraisal ratings were well above average, and there is no evidence in his file that his performance has declined in recent months. When WDE Insurance decided to reorganize its corporate claims function, it eliminated the regional offices, the RCM position, and established field offices throughout the country. As well, there will be five new Corporate Claims Specialists, redesigned and upgraded in expertise and pay grade. Human Resources was not involved, and the decision was made by the Senior Vice-President of Corporate Claims and 2 other upper managers, the Manager of Corporate Claims Life and the Manager of Corporate Claims Homeowners/Residential.

Law -Disparate treatment is part of the Title VII of the United States Civil Rights Act. Essentially, it prohibits employers from treating applications or employees differently because of their membership in a protected class. This sort of violation is indicated when an individual or group of a protected class is treated less favorably than others within similar situations. Legally, discriminatory intent may be shown through direct or circumstantial evidence.

Analysis -- WDE is in violation of Title VII of the Civil Rights Act based on the following:

1. At no time was there an appropriate or formal job description or procedure explaining qualifications, experience, or acumen for the new position.

2. Decisions made for the position were clearly arbitrary; direct supervisors of the RCMs were not consulted, but three upper managers developed a "list" from which they pulled names.

3. No other personnel files were looked at for the position, other than the names verbally agreed upon from the three upper managers.

4. While there was no direct implication of age bias in the procedure, circumstantial evidence shows that no one over 40 was even considered for the new positions, even though the current RCMs had more seniority and experience than those selected.

5. According to Title VII, the plaintiff must only prove that there was comparative evidence and that membership in a protected class, in this case age, as being at least a motivating factor in the decision. Since 100% of the candidates not-selected were over 40, and 100% of the candidates selected were under 40, the evidence shows that while age may not have been the sole favor, it was likely a motivating factor in the decision.

WDE Rebuttal

Dear Mr. Lincoln:

As General Counsel for WDE Insurance, I am writing you regarding the allegations put forward by your client, Mr. Ron Whyme. According to your brief, Mr. Whyme believes he was discriminated against on the basis of age for new positions created when WDE organized.

I have personally interviewed the three hiring managers for this position, and found that the specific intent of the new position was to align with previous Corporate Claims Specialists. While Mr. Whyme was a Regional Center Manager, it was felt that he lacked the necessary expertise in the new technological systems as well as direct hands-on experience that the new position would entail. In fact, his position was eliminated corporate wide based on a fiscal and quantitative review so that WDE could more easily move forward with its reorganization.