What are equal employment opportunities (EEO)?

Equal employment opportunity (EEO) is a global law meant to protect job applicants worldwide. However, since the law differs from country to country, be sure to check your local rules and regulations regarding EEO. The applicable act provides all job candidates with equality by protecting them against discrimination. EEO prohibits employers from judging or determining a person’s ability to perform a job based on the following characteristics:

• Race/Colour
• Religion
• Gender identity/Sexual orientation
• Ethnicity
• Age (40 or older)
• Pregnancy
• Mental/Physical disabilities

EEO is not just for applicants. It provides equality for many employment decisions—promotions, salary, benefits, and even termination. Any person applying for a position will have an equal chance at getting the job, provided they have the right qualifications. While EEO can’t guarantee that minorities will get hired, it ensures that every applicant will have an equal opportunity and be treated fairly, regardless of characteristics. For example, under EEO law, a company can’t reject an applicant just because they’re African or Catholic, Caucasian or Buddhist, or because they have a physical or mental disability. EEO law also prohibits employers from advertising jobs seeking applicants of a specific age range or promoting men over women. They can only base these decisions on the applicant’s proven strengths, performance, and objective data.

Who ensures compliance with EEO?

The Canadian Human Rights Commission and the Canadian Employment Equity Act ensure compliance with EEO by taking complaints and violations seriously. Federal, provincial, and local businesses, private companies, and employment agencies must adhere to these standards.

What happens if a company doesn’t comply with EEO?

A company that doesn’t comply with EEO may receive complaints, fines, or even lawsuits. Penalties can range from $10,000 to $50,000. Not to mention, such an event may also lead to a ruined brand reputation and all the costs associated with not having a diverse team that can open up a whole new world of opinions, suggestions, and opportunities in the workplace. Some employers will need to file an EEO-1 tracking report if they have locations in the US. This helps regulators determine how EEO-compliant the company is.

Are there any exceptions to the EEO mandate?

Yes, the EEO mandate has some exceptions, but may not exist in all countries. The first, called a “bona fide occupational requirement,” applies only to certain job criteria. Bonafide requirements allow employers to make a hiring decision based on a protected class characteristic when the organization can prove that the protected class characteristic is essential to the regular operation of its business. For example, female clothing designers can legally advertise that they’re looking for female models only (since their clothing line is not for male models).

What is a skill-based hiring process?

A skill-based hiring process is when an employer hires its employees based on the skills they possess rather than their level of education. It’s important for all managers to use a skill-based hiring process to avoid non-compliance issues with equal employment opportunities. Skill-based hiring processes require training, awareness, and conscious decision-making. Without fair hiring practices in place, some organizations may use unconscious bias in their hiring process. Unconscious biases are social stereotypes that automatically form outside our conscious awareness. Without proper EEO training for all staff and management, these biases could interfere with company growth, modernization, and success. Companies with workplace diversity have lower employee turnover (which means lower hiring costs) and more employee engagement. Did you know that businesses ranking in the top 25% for having a culturally diverse team were up to 36% more profitable?

Benefits of skill-based hiring

Both employers and employees can benefit from skill-based hiring. The benefits include:

• greater team diversity
• a wider range of candidacy
• less time spent searching for new hires
• higher retention rates
• a better way to measure competency
• avoiding potential issues with EEO

How the skill-based hiring process works

There are several skill-based hiring processes that can help you hire great employees:

1. Be clear about the essential skills you’re looking for

The hiring manager should know the skill set needed for every open job. Determine which skills are required coming in, and which ones can be learned on the job. Include soft skills like the candidate’s work ethic, empathy and understanding, communication and listening, and team vs independent work skills. Choose skills that can be easily observed or assessed.

2. Focus on competencies when creating job descriptions

You know what you want in a candidate, so be clear about it in your job post. List all required and desired skills, and if certifications, licences, or degrees are a deal-breaker, be sure to include this in your job posting.

3. Be wise about where you post your job description

You want to reach as many talented people as you can. Using your web page is a great place to start, but posting your job description on a job search engine will put your ad in front of a much larger audience.

4. Use a skill-based assessment

After you’ve pre-selected the best candidates, narrow your applicants down further by doing a thorough review of their qualifications and skills sets. Studies show that almost 25% of businesses do skill-based assessments before hiring—even for applicants with degrees, licences, and certifications. Aside from that, be sure to include cultural interview questions when you’re ready to interview candidates.

5. Lead by example

The success of any business relies on employees who maintain and expand their skill sets. Lead by example, and show your employees how they can grow and develop. By combining EEO with a skill-based hiring process, you can set up a winning team in a discrimination-free workplace.

How to build a discrimination-free workplace

Building a discrimination-free workplace is more than just avoiding EEO non-compliance issues:

• Team members who feel happy, valued, and appreciated for their work are more productive. They usually feel safer and are comfortable speaking with their coworkers and management regarding issues, concerns, and areas for improvement.
• Be sure the anti-discriminatory workplace policy is available for all to see—posted on the wall and in the company handbook.
• Be clear about EEO policies and the organization’s commitment to providing a discrimination-free workplace to all employees, management, applicants, clients, vendors, and suppliers.
• Offer open and honest communication about race, gender, and social issues. Effortless communication is key to preventing unethical or discriminatory behaviour in the workplace. If an employee has an issue to share but fears retaliation, the employer could miss out on receiving vital information. Include the HR manager in your discussion.
• Have your HR department offer training seminars on diversity, equal employment opportunity practices, and anti-discrimination for all management and employees.

How can you benefit from having a discrimination-free workplace?

Both employers and employees can enjoy several benefits from a discrimination-free workplace, such as those mentioned below:

• Experience working with a diverse team
• Less conflict in the workplace
• Job security
• Higher productivity and job satisfaction
• Better morale
• Lower employee turnover
• Boost in reputation
• More trust from customers and investors
• A sense of pride in doing business the right way
• Fewer allegations of discrimination and harassment
• Less money and time wasted due to fewer allegations
• Less money spent on legal fees