Section 1981 of the Civil Rights Act of 1866 is a law that protects individuals from discrimination based on their race in certain business transactions. It states that “all persons within the jurisdiction of the United States shall have the same right to make and enforce contracts…as is enjoyed by white citizens.” This means that employers cannot refuse to hire an individual simply based on their race, and must take into account all qualified individuals when making hiring, firing, or promotion decisions.
The scope of Section 1981 also covers various aspects of a company’s operations, including, but not limited to: hiring practices, wages and benefits, promotions, and other terms of employment. As a business owner, it is your duty to make sure that your workplace is free of discrimination and that everyone is given the same opportunity to be successful regardless of race.
Understanding the Implications of Section 1981
Section 1981 requires businesses to ensure they are compliant and legally protect their employees and customers from discrimination. Companies should have rigorous policies in place to ensure that everyone is treated the same, regardless of their race. Additionally, employers should have an extensive recruitment process to ensure that they are selecting the most qualified applicants for the job without resorting to race-based decisions.
Importantly, under Section 1981, businesses will be legally liable for any discrimination, harassment, or unequal treatment in the workplace. This means that employers should do their best to prevent such behavior by having a clear and comprehensive policy in place, as well as providing adequate staff training. Additionally, investigations into race discrimination should be conducted thoroughly and with respect for the rights of all involved.
Creating a Safe Workplace Free From Discrimination
It’s no surprise that workplace discrimination has serious consequences, not only for the individuals affected but also for the company at large. A company with a discriminatory work environment can suffer from poor morale, lack of productivity, and even legal consequences. Therefore, it is in your best interest as a business owner to ensure that your workplace is free from discrimination and makes employees feel welcome, safe, and respected.
By understanding and abiding by Section 1981, business owners can create a culture that puts fairness and equality first. Doing so will not only protect employees, but will create a work environment filled with diversity and opportunity for all.