Discrimination In Organizations: An Organizational-Level Systems Perspective

It has become increasingly clear to organizational decision makers that employment discrimination is a serious and expensive problem that needs to be addressed. The financial costs associated with discrimination settlements extend beyond the costs of the actual settlement to include negative stock price changes, presumably due to investor perceptions that discriminating firms may have less talented and committed workforces, high operating costs due to turnover, absenteeism, and job dissatisfaction, poor reputations with diverse customers, and/or lower organizational adaptability.