key term - Age Discrimination in Employment Act

Definition

The Age Discrimination in Employment Act (ADEA) is a federal law that prohibits employment discrimination against individuals 40 years of age or older. It aims to protect older workers from unfair treatment in the workplace based solely on their age.

5 Must Know Facts For Your Next Test

1. The ADEA applies to employers with 20 or more employees, including federal, state, and local governments.
2. The ADEA prohibits mandatory retirement based solely on age, with a few exceptions for certain high-level executives and tenured faculty.
3. Employers cannot discriminate against older workers in any aspect of employment, including hiring, firing, promotion, compensation, and benefits.
4. The ADEA allows employers to favor older workers over younger workers when making decisions about employee benefits, such as health insurance and pensions.
5. Employers can defend against ADEA claims by proving that age is a bona fide occupational qualification (BFOQ) that is reasonably necessary for the normal operation of the business.

Review Questions

• Explain the key provisions of the Age Discrimination in Employment Act (ADEA) and how they protect older workers.
  • The ADEA prohibits employment discrimination against individuals 40 years of age or older. It prohibits employers from making decisions about hiring, firing, compensation, and other terms and conditions of employment based solely on an employee's age. The ADEA also restricts mandatory retirement policies, with some exceptions, and allows employers to provide certain age-based benefits to older workers. The ADEA aims to ensure that employment decisions are based on an individual's qualifications and merit, rather than their age.
• Describe the two main types of age discrimination prohibited under the ADEA: disparate treatment and disparate impact.
  • The ADEA prohibits two main types of age discrimination: disparate treatment and disparate impact. Disparate treatment occurs when an employer treats an individual less favorably than others based on their age. Disparate impact refers to employment policies or practices that appear neutral but have a disproportionately adverse effect on older workers. Employers can defend against disparate impact claims by proving that the policy or practice is based on a reasonable factor other than age, such as a bona fide occupational qualification (BFOQ).
• Analyze how the ADEA's exceptions, such as the bona fide occupational qualification (BFOQ), can impact an employer's ability to consider age in employment decisions.
  • The ADEA includes a narrow exception known as the bona fide occupational qualification (BFOQ) that allows employers to consider age as a factor in hiring or employment decisions if it is reasonably necessary for the normal operation of the business. This exception is interpreted very narrowly by the courts, and employers have a high burden of proof to demonstrate that age is essential to the job and that there are no reasonable alternatives. The BFOQ exception can impact an employer's ability to consider age, as it requires a strong justification and limits the circumstances in which age can be a factor in employment decisions.

Related terms

Disparate Treatment: Occurs when an employer treats an individual less favorably than others based on their age.

Disparate Impact: Refers to employment policies or practices that appear neutral but have a disproportionately adverse effect on older workers.

Bona Fide Occupational Qualification (BFOQ): A narrow exception that allows employers to consider age as a factor in hiring or employment decisions if it is reasonably necessary for the normal operation of the business.