What Does Suspect Classification Mean? Unpacking This Legal Term for Business Professionals

Suspect classification is a legal term that describes a situation when discrimination laws are being violated or when state laws aren’t being enforced. The term is used to describe any circumstances where individuals are being treated differently or less favorably because of their race, religion, gender, sexual orientation, ethnicity, or other protected class statuses. This is why it’s important for business professionals to understand what suspect classification is so that they can be aware of any violations taking place in their company or workplace.

What Is an Example of Suspect Classification?

A classic example of suspect classification can be found in the landmark Supreme Court ruling of Griggs v. Duke Power. In the early 1970s, the Duke Power Company of North Carolina was found to be engaged in racial discrimination after it refused to hire African American applicants without a high school diploma, even though it would accept white applicants without the same qualifications. In its ruling, the Supreme Court declared that this “unjustified disparate treatment of racial classes” constituted unlawful suspect classification.

Why Understanding Suspect Classification Is Critical for Business Professionals

It’s critical for business professionals to understand the legal concept of suspect classification, not only because it’s against the law but also because it can be extremely damaging for a company’s reputation. Companies that are found to be engaging in discriminatory practices may face costly legal action, reputational damage, or even boycott from their customers. For these reasons, it’s important for business professionals to ensure that their company is taking the necessary steps to avoid suspect classification and act in accordance with discrimination laws.