Class action claims alleging discrimination have increased in recent years. Sometimes, what appears on the surface to be discrimination is the result of non-discriminatory factors uncovered through careful study. In other cases, an employment practice that appears to be non-discriminatory actually has an adverse impact against a protected group. In both cases, careful analysis of the allegations must be conducted to determine whether or not there is statistical evidence in support of a claim of discrimination.

Resolution Economics has extensive experience in performing statistical and economic studies in connection with employment discrimination allegations. Our firm has provided expert testimony in single plaintiff, multi-plaintiff and class-action matters alleging discrimination on the basis of age, race, gender, and national origin/ethnicity, in hiring, promotion, pay, termination, and other employment practices.

Class and Collective Action Litigation under Title VII, ADEA, the Equal Pay Act, and other Statutes
Following a long term trend, class action employment discrimination litigation actions continue to increase in both frequency and variety. The Equal Employment Opportunity Commission (EEOC) receives numerous complaints each day alleging various claims of employment discrimination on the basis of age, gender, race or ethnicity. The Commission also has increased its own activity in bringing claims in recent days. The U.S. Supreme Court has recently made far-reaching decisions in the employment setting – the Ledbetter and Ricci decisions made national headlines. Resolution Economics has assisted clients at all stages of employment discrimination cases: class definition and notification, data discovery, early stage consulting, expert witness analytical work, class certification, liability and merits, damages assessments, and settlements and distribution. By applying advanced quantitative modeling methods combined with creative and thorough use of economic and social science principles, we are able to produce innovative studies of the most complex class action claims. Through it all we never lose sight of the fact that our work must be articulated clearly and concisely. Even the most complex analysis typically arises from a simple and intuitive story. We always seek to tell that story as we explain the detailed findings. We have significant testimony experience in Federal and State courts and have been involved in many of the nation’s largest class action lawsuits.
Class and Collective Action Case Examples

Government Investigations - OFCCP, DOJ, EEOC
The OFCCP, Department of Justice, and the EEOC are increasing their focus on claims of systematic discrimination within the workplace. Given the size and complexity of these matters, and the economic and reputational exposure involved, companies typically take these claims seriously.

The types of studies called upon in government agency matters are typically similar to those in private class actions, but there are instances where an early resolution can be reached with the government agency involved without the attendant publicity of a later stage proceeding. Government agencies will sometimes permit a respondent to make its case in considerable detail before full charges are filed. Our Firm has successfully provided services in this area.
OFCCP, DOJ, EEOC Case Examples

Affirmative Action Planning
Affirmative action plans have long been a required part of the government contractor landscape. While the legal environment for affirmative action plans has changed over the years, the requirement to maintain appropriate workforce utilization statistics has not. Some companies fail to take seriously this important item in their human resources information base. This can have consequences. Resolution Economics assists companies in preparing their workforce statistics, utilizing carefully constructed relevant labor market benchmark data. Whether evaluating internal or external labor markets, it is critical that this step be done accurately. Recycling old benchmark data may be convenient, but it can lead to misleading goals, and can misrepresent how a company internally and externally utilizes labor. Our approach to affirmative action plans is to insure that the most accurate and relevant data are used in preparing the plans.

Affirmative Action Planning
Affirmative action plans have long been a required part of the government contractor landscape. While the legal environment for affirmative action plans has changed over the years, the requirement to maintain appropriate workforce utilization statistics has not. Some companies fail to take seriously this important item in their human resources information base. This can have consequences. Resolution Economics assists companies in preparing their workforce statistics, utilizing carefully constructed relevant labor market benchmark data. Whether evaluating internal or external labor markets, it is critical that this step be done accurately. Recycling old benchmark data may be convenient, but it can lead to misleading goals, and can misrepresent how a company internally and externally utilizes labor. Our approach to affirmative action plans is to insure that the most accurate and relevant data are used in preparing the plans.

Racial Profiling
Racial profiling remains an important issue in the United States. Racial profiling claims in law enforcement settings, for example, allege that an individual’s racial or ethnic characteristics are determining factors in individuals’ experiences and interactions with police officers, courts, and other law enforcement processes. In order to determine whether or not there is statistical evidence that supports a claim of racial profiling, careful statistical analysis must be conducted, which takes into account other possible explanation for observed surface patterns. This is especially important when examining police cases, since effective deterrent police activity is also an important goal of social policy. Resolution Economics has successfully provided consulting services in this area.
Racial Profiling Case Example

Retail Lending Market Claims – Redlining, Predatory Lending, and other lending market matters
The recent expansion in the mortgage industry of lending programs geared to so-called “sub-prime” buyers has led to the filing of claims alleging that race discrimination was present in these programs. Claims include those that say racial minorities were specifically targeted by brokers and lenders, and that non-minority prospective borrowers who were otherwise similar were not so targeted. Further claims include that the loan terms offered differed by race, because of race. Studying these claims is no different than studying claims of employment discrimination – there is a surface disparity that might be a result of race based decisions, but could also be the result of other factors which only correlate with race. Until a proper statistical analysis is conducted, it cannot be known where the causality lies. Proper analysis requires understanding the economic motives of the parties involved – both lending side as well as borrowing side. Resolution Economics has a long track record of careful study of the underlying processes at work in any discrimination analysis it pursues. It is critical to keep in mind that discrimination is not in and of itself directly observable – it is a statistical residual that is left after all other factors that might impact a given situation are brought into the analysis. This concept is especially important to keep in mind when examining processes as subtle and complex as mortgage lending – there could be macroeconomic factors, local area factors, lender factors, borrower factors, and governmental policy factors involved.

Resolution Economics has conducted detailed analysis of loan underwriting processes in connection with a series of wage and hour matters that has led to our being especially familiar with the nature of the decisions made by underwrites, as well as the data involved. That coupled with our extensive knowledge of the numerous external data sources that would bear on these issues make us uniquely qualified to study lending bias claims.

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