Equal Employment Opportunity Commission v. The Rath Packing Company

**The Dispute** The Equal Employment Opportunity Commission sued The Rath Packing Company for discriminating against women in their hiring practices. The EEOC claimed the company used subjective hiring methods that unfairly prevented women from getting jobs. The case also challenged Rath's policy that prohibited married couples from both working at the company (called a "no-spouse rule"). **The Court's Decision** The court reached a split decision. It found that Rath did discriminate against women through biased hiring practices and ordered the company to pay $1 million in back wages to affected women, plus additional interest and other remedies. However, the court allowed Rath to keep its no-spouse rule, deciding it was necessary for legitimate business reasons. The court also refused to give the women retroactive seniority (credit for years they should have been employed). **What This Means for Workers** This case shows that employers cannot use vague, subjective hiring criteria that result in discrimination against women or other protected groups. Companies must be able to prove their hiring decisions are based on legitimate job requirements. However, the ruling also demonstrates that some workplace policies affecting families may be legally acceptable if employers can show they serve valid business purposes.