If the selection rate for male applicants is 50%, what minimum female selection rate is required to avoid Adverse Impact?

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Multiple Choice

If the selection rate for male applicants is 50%, what minimum female selection rate is required to avoid Adverse Impact?

Explanation:
The concept tested is the four-fifths rule for adverse impact. To avoid adverse impact, the selection rate for a protected group must be at least 80% of the rate for the majority group. If males have a 50% selection rate, the minimum female rate to meet this standard is 50% × 0.80 = 40%. So 40% is the threshold that prevents adverse impact. Rates higher than that (like 50% or 60%) also avoid adverse impact, but 40% is the minimum needed. A rate of 25% would fail the rule.

The concept tested is the four-fifths rule for adverse impact. To avoid adverse impact, the selection rate for a protected group must be at least 80% of the rate for the majority group. If males have a 50% selection rate, the minimum female rate to meet this standard is 50% × 0.80 = 40%. So 40% is the threshold that prevents adverse impact. Rates higher than that (like 50% or 60%) also avoid adverse impact, but 40% is the minimum needed. A rate of 25% would fail the rule.

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