Case Studies

Online mini-case Studies: Equal opportunities and managing diversity – the law and associated concepts

Case One

Antlers is a department store selling a range of clothing and homeware. It recently advertised for a sales manager for the women’s clothing section. The sales manager role involves compiling staff rotas, stock control and the day-to-day management of the shopfloor, including the changing rooms. It received numerous applications, including one from Tom Chivers a sales assistant who had worked in the electrical department for the past four years. Linda Williams, another sales assistant who had worked at the store for two years, was given the job. Tom asked for feedback from the HR manager as to why he had not even been interviewed for the role and was told that it would have been inappropriate to recruit a man to the post. Tom is considering whether to make a claim for sexual discrimination.

1. Do you think that Tom has been discriminated against in this instance?
2. If Tom was to point out that the manager of the men’s clothing department was a women, do you think that this would strengthen his claim?

Case Two

David Portner has worked for Roygbiv Solutions – a multinational consultancy – as a software programmer for five years. After a seizure in the workplace, David was diagnosed with epilepsy. Since this initial seizure, Tom has experienced several sleep seizures and chose to take unpaid sick leave for a month. As a result of his seizure, David has had his driving licence suspended and is unable to drive for a period of at least one year. Having tried various medications, David’s doctor is now confident that his epilepsy is manageable and David has decided to return to work. However, David has now been informed that that he has been summarily dismissed by Roygbiv on the grounds of capability. His line manager indicated to David that this was because he was now unable to drive to client sites as a required part of his role. Prior to his seizure, David had been required to drive to a client an average of three times a year.

1. What are the pertinent issues in this case regarding the lawfulness of David’s dismissal?

Case Three

Sonia Spellman has worked at the city law firm – Verlaine, Smith and Lloyd – since qualifying as a lawyer ten years ago. She has long been seen as a rising star and has played a prominent role in a number of high-profile cases. On the basis of her professional reputation, she has attracted a number of clients to the firm and is highly respected among her peers. Last year, she was put forward for a partnership at the firm, but lost out to another female colleague, several years her senior. This year, she was again put forward for partnership but was overlooked in favour of a male colleague, Dan Draper, with a similar degree of experience but a considerably less acclaimed reputation. She has since learnt that Dan is the nephew of a current partner and regularly socialises with senior male figures at the firm. After raising a formal grievance with the HR manager at the firm, Sonia has found that she has been marginalised on a number of large cases and assigned to work normally done by a more junior lawyer.

1. What evidence is there in this case of structural, institutional and individual discrimination?
2. On what grounds might Sonia be able to make a claim for discrimination?

Case Four

Brendan Fraser qualified as a teacher in 1990 following a prior career as a journalist and had since worked in two schools rising to one of the highest pay grades for teaching positions. Shortly after his sixtieth birthday, he and his wife relocated to another part of the country and Brendan applied for a job as a Year Two teacher at St. Jude’s primary school. The job advertisement’s main stipulation was that applicants had ‘the potential for or demonstrable evidence of an ability to lead English or maths at the school’. Brendan had been both Year Two teacher and English coordinator at his previous school for the past five years. The job advert also stated that the role ‘would suit candidates in the first five years of their career’. Having applied for the job, confident of at least an interview, Brendan found out that he not even been shortlisted. He phoned the school to enquire why he had not been interviewed and was told that due to budgetary cuts the school had wanted to employ a ‘cheaper’ teacher. He was told that the school had appointed a female newly qualified teacher who had just completed her PGCE (Postgraduate Certificate in Education).

1. On what grounds might Brendan make a claim for discrimination in the handling of his application? On what grounds might St. Jude’s (or the associated local education authority) contest the claim of discrimination?

Case Five

Elsa Donnelly had worked as a waitress at Lucio’s, a highly regarded restaurant situated in the City Hotel, for six months. During her time at the restaurant she was repeatedly subjected to aggressive harassment by the head chef, Lucio Gonzalez. During this time, Gonzalez made sexually suggestive comments, both in person and in unsolicited phone calls, and exposed himself to the waitress. As an employee of the hotel, Elsa complained to the HR manager who told her that she would deal with the problem. The HR manager spoke to Lucio but no further action was taken. After her initial complaint, Gonzalez became increasingly abusive towards her. Elsa subsequently resigned her position.

1. On what grounds could Elsa make a claim under anti-discrimination legislation?
2. What evidence is there in this case of structural, institutional and individual discrimination (Pincus, 1996)?

Mercedes Benz is the top-selling luxury car brand in the world and recorded its highest quarterly sales ever in early 2018. Big sales gains on both the GLC crossover and the newly revised S-Class model accounted for much of this sales increase. A year earlier, in April 2017, Mercedes’ parent company Daimler AG had initially set its 2018 sales forecasts at modest levels. When the new models were released, however, these forecasts were readjusted and the company was predicting growth in both luxury cars and SUVs, owing largely to the predicted success of these new models. Mercedes is following a technology road map in which it plans for success with upgrades and new models in the short term (as seen with the GLC and S-Class launches in 2018), while at the same time making long-term adjustments so that it will be competitive well into the future as the car industry evolves. For example, in 2018, Daimler had a line of 10 totally battery-powered electric cars in development that would be on the market within five years. These would be sold under a new sub-brand, Mercedes EQ. The company was also planning to launch hybrid models of existing Mercedes vehicles. These technological developments cost Mercedes about 2.3 billion euros in the first quarter of 2018 alone, so like any other significant investment in new car platforms, the cost would need to be absorbed over several years and several models. As might be expected of Mercedes, the all-electric EQC class is projected to feature much impressive technology in line with the luxury car buyer’s expectations. For example, the newly developed media system will respond to driver verbal commands, govern car functions, and manage charge status, energy flow, and other necessities for an electric vehicle. It will also learn over time, thereby improving driving efficiency. The initial promotion on the Mercedes Web page described the EQC class as “more than just an electric vehicle: It’s a bold statement about the future of driving.” Indeed, the development of the hybrid and fully electric models is consistent with Mercedes’ vision of technologies that are predicted to transform the car industry. These are known by the acronym CASE: Connected, Autonomous, Shared and Services, and Electric. These technologies will shape not just car features, but how cars and drivers interact with each other and with the environment.

• Connected has several meanings: The driver is connected to the car’s functionality (ignition, door lock control, climate control, etc.) via an app. Drivers are also connected to other drivers (for example, to share information about accidents or slow traffic patterns).
• Autonomous also has several interpretations. It could mean fully autonomous driving (driverless cars), but it can also be defined more broadly. The media system ­ described above, for example, monitors key metrics and learns through time, thus taking this responsibility to some extent away from the driver.
• Shared and Services has a big impact on trends in the customer market for cars. Due to the trend toward ride-sharing, car sales may shift to some extent away from consumers and toward companies that offer transportation subscriptions to customers.
• Electric for Mercedes clearly means battery-powered cars: either electric-­ combustion hybrid versions of existing cars (the most immediate solution), or fully electric cars, which are a longer-term goal. Consistent with its technology road map, Mercedes will gradually add these cars to its fleet, while phasing out older models with combustion engines.

The EQC cars are compliant with three of the four CASE technologies: by being connected and autonomous, they provide user-friendliness, and running on batteries has the benefit of protecting the environment. Of course, Mercedes drivers will get the benefits they have come to expect: elegant design and excellent driving performance. These attributes will not be compromised in the EQC series. By the time the electric cars are launched, prototype versions will have driven millions of miles throughout Europe. These prototypes use the IONITY charging system, which is gaining acceptance as a standard in Europe; the number of IONITY charging stations is projected to ramp up significantly. Nevertheless, since the electric battery is such new a technology, soon to be commercialized for the first time by Mercedes, the company remains concerned about the potential warranty costs.

The expected launch of the first EQC model (an SUV) is in 2019. At least one car industry expert praised the design and appearance of the EQC in late 2018 but did raise a couple of concerns. The power train is similar to Audi and Tesla electric cars in terms of performance metrics (such as charging capacity), but Tesla was already on the market a year earlier and Audi is expected to launch the e-tron quattro ® soon. Plus, while Mercedes is announcing a range of 230– 240 miles, the effective range might be more like about 200 miles. If Mercedes sets a suggested retail price in the $50,000–$60,000 range, it might work, but if priced near Tesla and Audi at about $80,000 range, it may not be viewed as competitive.

How would you go about forecasting sales for the hybrid and electric Mercedes models? That is, what are the factors you would need to consider in advising the company moving forward? Importantly, what can go wrong? What external shocks to the system might seriously impact Mercedes electric car sales (positively or negatively)? Can anything be done to control for, or mitigate, these shocks to the system? (Think broadly about the car industry in answering this question.) What information used in developing the long-term forecast is the most uncertain?