ABSTRACT

This chapter discusses the use of statistical analysis to evaluate employment terminations in the context of equal employment opportunity laws and regulations. We distinguish between terminations for cause and layoffs, or reductions in force. Terminations for cause occur when an employee does not meet minimum standards of performance or conduct. Reductions in force (RIFs) occur when an employer realizes that future business will not support the existing level or mix of employment. The employees affected will include many who would otherwise be qualified to continue working.