A large emphasis was placed on the fact that over 65 percent of Wal-Mart’s hourly workers are women, where only 33 percent of the store’s managers were female.
The U.S. Court of Appeals for the Ninth Circuit made history this month, as they affirmed the largest class action lawsuit against Wal-Mart. The mega-retailer is facing over 500,000 women who wish to pursue injunctive relief, declaratory relief, and back pay.
The lawsuit originated in 2001, and accuses the retailer of continually paying women less than men, and offering women smaller raises and fewer opportunities for promotion. A large emphasis was placed on the fact that over 65 percent of Wal-Mart’s hourly workers are women, where only 33 percent of the store’s managers were female.
Although the evidence in this case is staggering, some hiring managers may be making similar mistakes without realizing it. Research indicates that people are prone to select hires based on their own personal preferences and similarities. A male manager is more likely to hire males, and vice versa for females. When an organization relies on its managers to hire new employees, there needs to be a way to obtain information objectively in order to ensure fairness and equality.
Had they executed fairer practices and implemented a standardized succession planning procedure, they would not be facing the largest class action suit in history.
Pre-hire assessments provide employers with a way to gain information from potential employees that is gender neutral. The assessments are gender neutral and can accurately demonstrate who has the strongest potential to succeed in a position. These assessments are also beneficial in terms of promotions. They can highlight which employees should be groomed for advancement by using the succession planning report – which is also gender neutral.
Studies show that having a mixed gender workforce is optimal, and more productive. Wal-Mart is stuck in an unfortunate and potentially expensive situation. Had they executed fairer practices and implemented a standardized succession planning procedure, they would not be facing the largest class action suit in history. Don’t let your company suffer for mistakes a few hiring mangers make. Use assessments to create an objective and fair talent management system to ensure that you have the right people for the job in all of the right places.
