Metrics, Analytics & Compliance Flashcards

A company hired 50% of white applicants and 35% of Black applicants for the same role. Under the four-fifths rule, what does the selection ratio indicate?

Answer: Adverse impact is indicated because 35/50 = 70%, below 80%

Dividing the lower selection rate by the higher one gives 70%, which falls below the 80% threshold in the Uniform Guidelines.

Which private-sector employers must file the annual EEO-1 Component 1 report?

Answer: Employers with 100 or more employees, or federal contractors with 50+ employees and a $50,000+ contract

The EEOC requires EEO-1 filings from employers with 100+ employees and from qualifying federal contractors with 50+ employees.

A diversity executive wants to know whether women leave the company faster than men in their first year. Which metric fits best?

Answer: First-year turnover rate segmented by gender

Segmenting early-tenure turnover by gender shows directly whether retention differs between the groups.

Which statement best describes a representation index?

Answer: The ratio of a group's share of the workforce to its share of a relevant benchmark population

A representation index compares a group's internal share against an external or internal benchmark, where 1.0 means parity.

Under Section 503 of the Rehabilitation Act, what utilization goal does OFCCP set for individuals with disabilities?

Answer: 7% in each job group

OFCCP regulations set a 7% utilization goal per job group (or for the whole workforce at small contractors).

An HR analyst runs a regression on salaries that controls for job level, tenure, and location, and finds a statistically significant negative coefficient for women. What does this most likely show?

Answer: An unexplained pay gap tied to gender after legitimate factors are controlled

A significant gender coefficient after controls means a pay difference that the included legitimate factors do not explain.

Why should diversity dashboards suppress or aggregate results for very small demographic groups?

Answer: To protect employee confidentiality and avoid unreliable conclusions

Small cells can identify individuals and produce statistically unstable percentages, so minimum reporting thresholds protect privacy and accuracy.