key term - Age Discrimination in Employment Act

Definition

The Age Discrimination in Employment Act (ADEA) is a federal law that prohibits age-based discrimination in the workplace. It protects individuals who are 40 years of age or older from unfair treatment in hiring, firing, compensation, and other employment-related decisions.

5 Must Know Facts For Your Next Test

1. The ADEA applies to private employers with 20 or more employees, as well as state and local governments.
2. The law prohibits mandatory retirement ages, except for certain high-level executives and certain public safety positions.
3. Employers are prohibited from using age as a factor in any employment decision, including hiring, firing, promotion, layoff, compensation, and benefits.
4. The ADEA allows for reasonable factors other than age (RFOA) to be considered in employment decisions, as long as they are not proxies for age.
5. Employees who believe they have been discriminated against based on age can file a charge with the Equal Employment Opportunity Commission (EEOC) and potentially pursue legal action.

Review Questions

• Explain the two main types of age discrimination prohibited by the ADEA.
  • The ADEA prohibits two main types of age discrimination: disparate treatment and disparate impact. Disparate treatment occurs when an employee is treated differently and less favorably than others because of their age. Disparate impact arises when an employer's neutral policies or practices disproportionately affect older workers, even if the employer did not intend to discriminate.
• Describe the Bona Fide Occupational Qualification (BFOQ) exception under the ADEA.
  • The ADEA includes a narrow exception known as the Bona Fide Occupational Qualification (BFOQ). This exception allows employers to consider age as a factor in hiring if it is reasonably necessary to the operation of the business. For example, an airline may be able to set a mandatory retirement age for its pilots if it can demonstrate that age is a legitimate requirement for the safe performance of the job.
• Analyze how the ADEA's prohibition on mandatory retirement ages impacts employers and older workers.
  • The ADEA's prohibition on mandatory retirement ages has had a significant impact on both employers and older workers. For employers, it means they cannot force employees to retire solely based on their age, unless the position falls under a specific exception. This has required employers to be more flexible in accommodating older workers and to focus on their skills and abilities rather than their age. For older workers, the ADEA has provided greater job security and the opportunity to continue contributing their experience and expertise to the workforce.

Related terms

Disparate Treatment: A type of discrimination where an employee is treated differently and less favorably than others because of their age.

Disparate Impact:

A type of discrimination where an employer's policies or practices, though neutral on their face, disproportionately affect older workers.

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