The ADEA: What Employers Need to Know

The Age Discrimination in Employment Act (ADEA) is a federal law that prohibits discrimination against individuals who are 40 years of age or older in any aspect of employment. In this blog post, we discuss the key provisions of the ADEA, how businesses can comply with the law, and the impact of the ADEA on businesses.

BUSINESS + LAWFEDERAL LAWEMPLOYMENT LAW

Graham Settleman

9/28/20237 min read

a group of people sitting around a table
a group of people sitting around a table

Introduction

Here is a brief overview of the Age Discrimination in Employment Act of 1967 (ADEA):

  • Purpose: The ADEA prohibits employment discrimination against individuals who are 40 years of age or older. The purpose of the ADEA is to protect older workers from being fired, denied promotions, or otherwise discriminated against because of their age.

  • History: The ADEA was passed in 1967, after years of advocacy by civil rights groups and labor unions. The ADEA was the first federal law to prohibit employment discrimination on the basis of age.

  • Key provisions: The ADEA prohibits discrimination in employment on the basis of age in hiring, firing, promotion, compensation, benefits, job training, and other terms and conditions of employment. The ADEA also prohibits employers from discriminating against older workers in their advertising and recruiting practices.


Here are some signs that you may have been the victim of age discrimination:

  • You were fired or laid off after you turned 40.

  • You were denied a promotion or raise after you turned 40.

  • You were subjected to negative comments or stereotypes about your age.

  • You were given less challenging or less visible work after you turned 40.

  • You were excluded from social activities or training opportunities.


If you believe that you have been the victim of age discrimination, you should contact the Equal Employment Opportunity Commission (EEOC). The EEOC is a federal agency that enforces the ADEA. The EEOC can investigate your complaint and, if it finds that you have been discriminated against, it can order the employer to take corrective action.


Here are some additional resources that you may find helpful:

Key Provisions

  • Coverage: The ADEA applies to all employers with 20 or more employees.

  • Protected individuals: The ADEA protects individuals who are 40 years of age or older.

  • Protected activities: The ADEA prohibits discrimination against individuals in any aspect of employment, including hiring, firing, promotion, compensation, benefits, job training, and other terms and conditions of employment.

  • Exceptions: The ADEA does not prohibit discrimination against individuals who are:

    • A bona fide occupational qualification (BFOQ). A BFOQ is a job requirement that is essential to the safe and efficient operation of the business. For example, an airline may be able to refuse to hire a pilot who is over the age of 65 because of safety concerns.

    • Retired. The ADEA does not protect individuals who are retired from their jobs. However, the ADEA does protect individuals who are laid off or fired from their jobs and then later retire.

    • Part-time employees. The ADEA does not apply to part-time employees. However, if a part-time employee is treated differently from full-time employees because of their age, they may be able to file a claim under the ADEA.

  • Enforcement: The ADEA is enforced by the Equal Employment Opportunity Commission (EEOC). The EEOC can investigate complaints of age discrimination and, if it finds that discrimination has occurred, it can order the employer to take corrective action. Individuals who believe they have been the victim of age discrimination can also file a lawsuit in federal court.


Here are some examples of age discrimination:

  • An employer refuses to hire a 50-year-old applicant because the employer believes that older workers are less productive.

  • An employer fires a 60-year-old employee because the employer believes that the employee is too expensive.

  • An employer denies a 55-year-old employee a promotion because the employer believes that the employee is not as technologically savvy as younger employees.

  • An employer gives a 40-year-old employee a lower salary than a 30-year-old employee with the same qualifications.


If you believe that you have been the victim of age discrimination, you should contact the EEOC or an attorney.

Examples in Court

Let’s review examples of how the Age Discrimination in Employment Act (ADEA) has been applied in court cases:

  • Most recent: In 2022, the U.S. Court of Appeals for the Ninth Circuit ruled that a company that fired a 60-year-old employee because of his age had violated the ADEA. The employee, who had worked for the company for 20 years, was fired after he was asked to train a younger employee. The company claimed that the employee was fired for performance reasons, but the court found that the company's real reason for firing the employee was his age.

  • Most high-profile: In 2012, the U.S. Supreme Court ruled in Gross v. FBL Financial Services that plaintiffs in ADEA cases can win if they prove that they were treated differently because of their age, even if they cannot prove that they would not have been fired or denied a promotion if they were younger. This decision made it easier for plaintiffs to win ADEA cases.

  • Another example: In 2010, the U.S. Supreme Court ruled in Kimel v. Florida Board of Regents that the ADEA does not apply to state and local governments. This decision was a setback for older workers who had been discriminated against by state and local governments.


These are just a few examples of how the ADEA has been applied in court cases. The ADEA has been successful in protecting older workers from discrimination, but there is still more work to be done.

Business Impact of the Law

Here is how the Age Discrimination in Employment Act (ADEA) impacts businesses in simple terms:

  • The ADEA prohibits businesses from discriminating against individuals who are 40 years of age or older in any aspect of employment, including hiring, firing, promotion, compensation, benefits, job training, and other terms and conditions of employment.

  • This means that businesses cannot refuse to hire someone because they are over 40, fire someone because they are over 40, or pay someone less because they are over 40.

  • The ADEA also prohibits businesses from discriminating against older workers in their advertising and recruiting practices. This means that businesses cannot advertise for jobs that are only open to people under a certain age, or use age-related language in their job postings.


The ADEA has a number of positive impacts on businesses. First, it helps to ensure that businesses have a workforce that is diverse in terms of age. This diversity can lead to a number of benefits, such as increased innovation, improved decision-making, and a more positive work environment.


Second, the ADEA can help businesses to attract and retain top talent. Older workers have a wealth of experience and knowledge to offer, and many businesses are now realizing that these skills are essential for success. By complying with the ADEA, businesses can ensure that they are not missing out on potential employees who could make a significant contribution to their company.


Finally, the ADEA can help businesses to avoid legal liability. If a business is found to have discriminated against an older worker, it could face significant financial penalties. By complying with the ADEA, businesses can protect themselves from these risks and ensure that they are operating in a fair and legal manner.


In short, the ADEA is a valuable law that helps to protect older workers and promote diversity in the workplace. By complying with the ADEA, businesses can benefit from a number of positive outcomes, including a more diverse workforce, increased innovation, and improved decision-making.

Additional Resources

  • U.S. Equal Employment Opportunity Commission (EEOC): The EEOC is the federal agency that enforces the ADEA. You can find more information about the ADEA on the EEOC website: https://www.eeoc.gov/statutes/age-discrimination-employment-act-1967

  • National Older Workers Employment and Training Coalition (NOWETCO): NOWETCO is a non-profit organization that provides information and resources on employment and training for older workers. You can find more information about the ADEA on the NOWETCO website: https://nycetc.org/

  • American Association of Retired Persons (AARP): AARP is a non-profit organization that advocates for the rights of older Americans. You can find more information about the ADEA on the AARP website: https://www.aarp.org/work/age-discrimination/adea-turns-50-fd/

How Businesses Can Comply with the ADEA

  • Review hiring and promotion policies: Businesses should review their hiring and promotion policies to ensure that they do not contain any age-related language. For example, businesses should avoid using terms like "young" or "old" when describing the ideal candidate for a job.

  • Train employees on age discrimination: Businesses should train their employees on the ADEA and how to avoid discriminating against older workers. This training should cover the different types of age discrimination, as well as the consequences of violating the law.

  • Adopt a non-discrimination policy: Businesses should adopt a non-discrimination policy that explicitly prohibits age discrimination. This policy should be in writing and should be distributed to all employees.

  • Monitor hiring and promotion decisions: Businesses should monitor their hiring and promotion decisions to ensure that they are not being made on the basis of age. This can be done by tracking the age of all new hires and promotions.


Here are some fictional examples of how different businesses located across the United States can comply with the ADEA:

  • A small business in New York: A small business in New York should review its hiring and promotion policies to ensure that they do not contain any age-related language. The business should also train its employees on the ADEA and how to avoid discriminating against older workers. The business should adopt a non-discrimination policy that explicitly prohibits age discrimination. Finally, the business should monitor its hiring and promotion decisions to ensure that they are not being made on the basis of age.

  • A large corporation in California: A large corporation in California should also review its hiring and promotion policies to ensure that they do not contain any age-related language. The corporation should also train its employees on the ADEA and how to avoid discriminating against older workers. The corporation should adopt a non-discrimination policy that explicitly prohibits age discrimination. Finally, the corporation should monitor its hiring and promotion decisions to ensure that they are not being made on the basis of age.


In addition to the federal ADEA, some states have their own laws that prohibit age discrimination. Businesses that operate in these states should be aware of the state laws and comply with them in addition to the federal law. For example, the state of California has its own law that prohibits age discrimination in employment. This law applies to all employers, regardless of size. The California law is similar to the federal ADEA, but it also includes some additional protections for older workers. For example, the California law prohibits employers from discriminating against older workers in their benefits.


By taking these steps, businesses can help to ensure that they are complying with the ADEA and the laws of the states in which they operate. This will help to protect their employees and avoid legal liability.

What Are Your Thoughts?

The Age Discrimination in Employment Act (ADEA) is a federal law that prohibits discrimination against individuals who are 40 years of age or older in any aspect of employment.


To learn more about the ADEA and how to comply with the law, visit the U.S. Equal Employment Opportunity Commission (EEOC) website at https://www.eeoc.gov/statutes/age-discrimination-employment-act-1967.


What are your thoughts on the ADEA? Share your thoughts on social media with the hashtag #theindustryleader.

A comprehensive guide to the Age Discrimination in Employment Act (ADEA), covering everything from key provisions to enforcement and compliance.

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