What are the pros and cons of a two-step evaluation process

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Reference no: EM133443326

Case Study: Marlin Williams was promoted to diversity manager from her role as a talent-management consultant at Fiat Chrysler Automobiles (FCA) in September 2015. Williams reports that her new position was not really a promotion, as it did not include a raise, vehicle allowance, or prestigious title that the person she replaced (who had the title Director of Talent Acquisition and Diversity) held, although she took over many of her duties. Instead, her job category remained the same. Williams was tasked with investigating any pay and promotion disparities involving minorities. Williams found that the two-step evaluation process in place at FCA resulted in disparate impact. Evaluations were completed first by employees' direct supervisors and then by a team of predominantly white higher-level managers. This second step is intended to be a calibration process, a step is usually taken to ensure that all ratings from different managers are based on the same criteria. Marlin found that higher-level managers gave significantly lower evaluations to African-American employees than the employees' immediate supervisors did and that her own ratings were downgraded after the calibration process, although she says she achieved all company goals. Pay and advancement opportunities were affected by these lower ratings.

Williams reported her findings, including herself in the group of employees apparently discriminated against. She then found herself under investigation at the company and said she was shut out by upper management. In January, she submitted her resignation, intending to work two final weeks, but was soon fired and escorted from the building. Subsequently, she filed a class-action lawsuit over the evaluation discrimination for African-American employees of FCA. The company denies discrimination, stating the claims are without merit.

Case Study Questions

What are the pros and cons of a two-step evaluation process with calibration meetings?
How might Fiat Chrysler defend itself from these allegations?
Whether or not Williams and other employees win this case, should FCA rethink its evaluation system?

Reference no: EM133443326

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