NEW JERSEY INSTITUTE OF TECHNOLOGY
SCHOOL OF MANAGEMENT

HRM 303 Human Resource Management
Dr. Naomi Rotter
Session 2: HRM Environments, Part I
External, Legal, & Political

Objectives:

1. To introduce external forces that effect HRM functions
2. To understand the importance of the legal environment in HRM
3. To understand the distinction between equal employment activities and affirmative action
4. To review Title VII of the Civil Rights Act of 1964
5. To become familiar with two forms of unfair discrimination
6 To understand legal defense of discrimination

I. The External Environment

    A. Economic forces

    B. Global competition

1. International trade

a. Technology has lowered the cost of moving goods.

b. Trade barriers have been lowered

c. Developing countries have opened their markets.

d. The decline of communism led to opening up all of Eastern Europe to trade

2. Economic interdependence

    C. Technology and Re-engineering

    D. Education crisis

    E. Demographic trends

    F. Government Regulation

II. The importance of the legal environment

    A. Doing the right thing

    B. Responsibilities of the HR and Legal departments

    C. EEO and Affirmative action

III. Law affecting discriminatory practices

    A. Early laws

    B. The Equal Pay Act of 1963

    C. Title VII of the Civil Rights Act of 1964

1. protected class

2.illegal discrimination

a. disparate treatment

b. adverse impact

Ex. Griggs vs Duke Power Co.

3. The four-fifths rule

4. Defense of discrimination

a. Bona fide occupational qualifications

b. Job relatedness

    C. Seniority