Pre-hire Personality Tests Ruled Impermissible Under the ADA

Does your company administer personality tests to potential applicants? If so, you are not alone. About 30 percent of all companies use personality tests to assist them in making hiring decisions. However, there is risk associated with the use of these tests because many companies misuse them or use the wrong tests altogether in evaluating the qualifications of an applicant. The following case is an illustration of pre-hire tests gone wrong.

On June 14, 2005, the Seventh Circuit Court of Appeals found Rent-A-Center's (RAC) use of the Minnesota Multiphasic Personality Inventory (MMPI), a psychological test, in Karraker v. Rent-A-Center, Inc. et. al. (7th Cir. 2005) was a violation of the law. The plaintiffs sued, claiming RAC's use of the MMPI as part of a nine-test profile, designed to measure math and language skills as well as interests and personality traits, violated their rights under the American with Disabilities Act of 1990 (ADA). The test had been administered to the named plaintiffs as part of the testing to determine if the named plaintiffs (there was a certified class of employees) were eligible for promotion. The court reasoned that even though the MMPI was not the entire basis for the determination, RAC used the results, at least in part, to reveal mental illness or psychiatric disorders that determined an employee's suitability for employment. The test was therefore found to be a medical exam as defined by the Equal Employment Opportunity Commission.

Sexual harassment occurs because many people in organizations still do not understand what it is. They do not always recognize sexual harassment in its subtle form. Help your employees develop an awareness toward sexual harassment in the workplace, so that if they do see it or become aware of it, they know how to respond.

The fact that RAC did not have a psychologist review the results did not persuade the court in this case. The test was used to weed out applicants and effectively excluded employees with psychological disorders from promotions. Under the ADA, personality tests are permissible if they are used for non-medical purposes, such as to determine whether or not an applicant is likely to lie, or to determine an applicant's tastes and habits. If an employer uses a personality test to determine if an applicant has anxiety, depression or a mental illness, then an employer is in violation of the ADA.

Before the court had rendered its decision, 1200 employees had been certified as plaintiffs in California and RAC had paid $1,200,000 to settle their claims. RAC no longer uses the MMPI test.

If your company uses any form of personality testing at any stage of employment, whether a person is seeking his or her first position with the company or a promotion, steps must be taken to ensure that the test is administered so as not to violate the ADA. Tests used to identify traits such as time management skills, organizational skills, and honesty will probably be within the confines of the law. If a test delves into an applicant's psychological profile, it will likely be regarded as a medical exam, whether or not a psychologist or psychiatrist administers it.

Provided by: HRTutor.com and The Human Equation Email this article Pre-hire Personality Tests Ruled Impermissible Under the ADA By: Laurie Meyers, Esq.
Does your company administer personality tests to potential applicants? If so, you are not alone. About 30 percent of all companies use personality tests to assist them in making hiring decisions. However, there is risk associated with the use of these tests because many companies misuse them or use the wrong tests altogether in evaluating the qualifications of an applicant. The following case is an illustration of pre-hire tests gone wrong. On June 14, 2005, the Seventh Circuit Court of Appeals found Rent-A-Center's (RAC) use of the Minnesota Multiphasic Personality Inventory (MMPI), a psychological test, in Karraker v. Rent-A-Center, Inc. et. al. (7th Cir. 2005) was a violation of the law. The plaintiffs sued, claiming RAC's use of the MMPI as part of a nine-test profile, designed to measure math and language skills as well as interests and personality traits, violated their rights under the American with Disabilities Act of 1990 (ADA). The test had been administered to the named plaintiffs as part of the testing to determine if the named plaintiffs (there was a certified class of employees) were eligible for promotion. The court reasoned that even though the MMPI was not the entire basis for the determination, RAC used the results, at least in part, to reveal mental illness or psychiatric disorders that determined an employee's suitability for employment. The test was therefore found to be a medical exam as defined by the Equal Employment Opportunity Commission. Sexual harassment occurs because many people in organizations still do not understand what it is. They do not always recognize sexual harassment in its subtle form. Help your employees develop an awareness toward sexual harassment in the workplace, so that if they do see it or become aware of it, they know how to respond. The fact that RAC did not have a psychologist review the results did not persuade the court in this case. The test was used to weed out applicants and effectively excluded employees with psychological disorders from promotions. Under the ADA, personality tests are permissible if they are used for non-medical purposes, such as to determine whether or not an applicant is likely to lie, or to determine an applicant's tastes and habits. If an employer uses a personality test to determine if an applicant has anxiety, depression or a mental illness, then an employer is in violation of the ADA. Before the court had rendered its decision, 1200 employees had been certified as plaintiffs in California and RAC had paid $1,200,000 to settle their claims. RAC no longer uses the MMPI test. If your company uses any form of personality testing at any stage of employment, whether a person is seeking his or her first position with the company or a promotion, steps must be taken to ensure that the test is administered so as not to violate the ADA. Tests used to identify traits such as time management skills, organizational skills, and honesty will probably be within the confines of the law. If a test delves into an applicant's psychological profile, it will likely be regarded as a medical exam, whether or not a psychologist or psychiatrist administers it.
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