What is disparate impact?

Disparate impact refers to a situation where a seemingly neutral policy or practice results in a disproportionate adverse effect on individuals from a protected class, even if the policy does not explicitly discriminate against those individuals. This concept is significant in the realm of Equal Employment Opportunity (EEO) because it highlights how certain organizational practices, while not intentionally discriminatory, can still lead to inequality in outcomes.

For instance, if an employer implements a standard qualification requirement that unintentionally disadvantages a particular racial group, that can be considered disparate impact. The key aspect of this definition is that the policy appears neutral on its face but carries unintended consequences that adversely impact a specific group.

Understanding disparate impact is crucial for employers as they develop policies and practices to ensure compliance with EEO laws and foster a fair workplace environment. Awareness of this concept enables organizations to critically evaluate their practices and make necessary adjustments to promote equality and avoid potential legal consequences.