HR STRATEGY

Anna Kim

Corporate America is filled with cautionary tales of what not to do as an employer…

Companies would do well to heed them: 45% of Gen Z consumers said employee treatment affects their trust in a brand, according to an FTI Consulting report, making the issue more important than a company’s sustainability efforts (41%) or stance on social issues (37%). This will be especially important as Gen Z consumers enter their “peak spending years.”

“People are very keyed in, and they care, and, so, it’s not just about what you say in the moment and that immediate response to an incident that gets their attention,” said Rachel Rosenblatt, senior managing director at FTI Consulting. “It’s a show-me story.”

Gen Z may be more likely than previous generations to form opinions on companies based on their actions as employers because social media has given them access to information that hasn’t been readily available before, Tara Ceranic Salinas, a business ethics professor at the University of San Diego, told HR Brew.

For more on the role HR stands to play in ensuring an employer’s brand reputation, keep reading here.—MC

      

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DEI

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Four women formerly employed with Amazon filed a joint class action lawsuit against the company, with the support of workers rights nonprofit A Better Balance, over allegations that the company discriminated against them while they were pregnant, in violation of the Pregnant Workers Fairness Act (PWFA).

The women claimed Amazon engaged in systemic discrimination, and denied pregnant workers reasonable accommodations like chairs, lighter workloads, adequate breaks, and time off for prenatal appointments, Reuters reported. According to the complaint, Amazon allegedly fired all employees “pursuant to its punitive policies,” i.e., based on Amazon’s time-off policies which, according to the complaint, “impose disciplinary penalties for legally protected absences and breaks.”

“Amazon ignores the law, forcing pregnant employees to continue working without modifications, at great risk to their health,” according to the lawsuit.

For more on the allegations against Amazon, and what the PWFA requires of employers, keep reading here.—KP

      

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COMPLIANCE

Morning Brew

The UK Employment Appeal Tribunal (EAT) just ruled that some pay differences may be justified, as the UK and EU work out how to implement gender pay transparency legislation.

The decision overturned a 2024 ruling on a lawsuit brought against retailer Next by more than 3,500 of its retail employees, who alleged pay discrimination resulting in a gender pay gap among retail workers (78% of whom were women) and warehouse workers (53% of whom were men) between 2012 and 2023, Human Resources Director reported.

The 2024 ruling sided with the plaintiffs, but the appeal court found that the company had the right to pay its warehouse workers at a higher rate based on recruitment needs.

For more on the decision, and the implications it may have for employers in the retail industry, keep reading here.—KP

      

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Francis Scialabba

Today’s top HR reads.

Stat: Just 4% of job postings in the US are for AI-related roles. (ICIMS)

Quote: “There’s nothing more important in securing a follow-up visit than the experience from the current visit.”—Tiffanie Boyd, global chief people officer at McDonald’s, on the company retraining its two million restaurant workers to create a more human customer experience, even as the fast-food industry leans into technology (the Wall Street Journal)

Read: Temporary protected status is ending for many Salvadoran immigrants, causing confusion for employers. (the Los Angeles Times)

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