In the past year, employees of Style Unique in Technology (SUIT) industries complained
of having wage discrimination in the organization’s plants, Nashville plant and Knoxville plant.
The human resource manager of the manufacturing company was asked by the president to
investigate this problem and determine if wage discrimination existed. The reason that the
president acknowledged to this problem was because of the complaints he received from the
company’s employees. In order to analyze this problem, the analyzed data was made up of 60
random samples. Thirty random samples were taken from each plant, Nashville plant and
Knoxville plant. The data was put through a t-Test hypothesis to test the research based on the
data in the case. Three statistical tests were made between the data in Knoxville, Nashville, and
the overall. The Knoxville statistical test showed no wage discrimination, but Nashville and the
overall test showed wage discrimination. The fact was that the median hours’ wages differed
from each industry.
The Style Unique in Technology (SUIT) industries is a manufacture company that has
two large plants that are Nashville plant and Knoxville plant. SUIT is specialized in
manufacturing outstanding and unique sports clothing by using Syrian cotton fabrics. The
organization exports its products abroad to different countries such as Italy, France, Germany,
Switzerland, Russia, and Belgium. Last year, the company had an issue of having a wage
discrimination based on the discrimination in wages between the plants and the gender. The
company’s president has assigned the human resource manager to investigate this issue to
respond quickly to the employees’ complaints about the discrimination.
In the last year, the employees who work at the Style and Unique in Technology (SUIT)
industries complained about having a wage discrimination between the plants of the company
that are Knoxville plant and Nashville Plant and a wage discrimination in gender. The President
of the manufacturing company received the complaints and asked the human resource to
Raw data of two plants from an appropriate random sample of 30 employees in each
plant was provided by the human resources offices at Knoxville and Nashville plants. After
studying the row data, an error was found at Knoxville plant data on the current wages. The
wrong data was resent to the human resources offices. The error was solved, and new data was
resent by the human resources offices.
The data was contained 15 male and 15 female of each plant. The data had three columns.
In first column, the Knoxville plant was coding with 1, and the Nashville plant was coding with
2. In second column, the male gender was coding with M, and the female gender was coding
with F. In third column, the data was about current wages. The current wages were ranging from
$9.30 to $9.85 for female, and from $9.06 to $10.17.
The data was inserted into Microsoft Excel spread sheet. The data was sorted by plant on
the first column. The Knoxville plant was at the top and the Nashville plant was at the bottom.
The data was sorted by gender according to each plant on the second column. The female
employees were above the male employees.
A t-Test was run to manipulate and analysis data. It was run to compare two group of two
main and to see the average wages and the P-value. Three t-Tests were run. Each t-Test consisted
of two-sample assuming unequal variances of males and females. First t-Test was to investigate
the females and males in Nashville plant. Second t-Test was to investigate the females and males
in Knoxville plant. Third t-Test was to investigate the females and males in both plants. Bar
graphs were created for each of the three t-Tests run in Microsoft Excel to show the wages per
hour according to gender.
Presented in Figure 1 is the difference in means between males and females
wages. Figure 1 also shows that the males’ wages are $9.56 and the females’ wages are $9.46
with a difference of $0.1 in the wages. The P=value of Knoxville is 0.0776.
Presented in Figure 2 is the difference in means between males and females wages. Figure 2 also
shows that the males’ wages are $9.88 and the females’ wages are $9.62 with a difference of
$0.26 in the wages. The P=value of Nashville is 2.9494.
Presented in Figure 3 is the difference in means between males and females wages.
Figure 3 also shows that the overall males’ wages are $9.72 and the overall females’ wages are
$9.54 with a difference of $0.17 in the wages. The P=value of the overall wages is 0.0008.
Resulting from the t-Test of Knoxville, there was a marginal difference in wages of
females and males. Statistically, there is no wage discrimination of workers in Knoxville because
the P=value of the t-Test is more than Alpha. According to that, we accept the null. On the other
hand, Nashville t-Test was rejected which means that the P=value is less than Alpha. This
indicates that wage discrimination existed in Nashville. In addition, the margin in wages was also
existed. Finally, the overall t-Test of both Knoxville and Nashville plant was rejected because the
P=value was less than the Alpha. Accordingly, wage discrimination was presented in the overall
t-Test with a noticeable marginal difference in wages of overall worker in Nashville and
The final result indicates that the males received higher wages than females. The
difference of wages of females was less compared to wages of males. The t-Test for Nashville
plant indicated that there was wage discrimination that females received wages less than males
by $0.26. The reason that a wage discrimination existed was because the P=value was less than
Alpha. According to Knoxville plant, wage discrimination was not found. The t-Test hypothesis
of Knoxville showed there is a difference in wages where male wages were higher than female
wages by $0.10. Statistically, according to the P-value and Alpha, P=values was more than alpha
which meant that wages discrimination for both Nashville and Knoxville. The result for overall t-
Test showed that wage discrimination existed because the P=value was less than Alpha.
Wage discrimination is defined as paying wages to the worker based on reasons that are
not related to the job itself. It is recommended that wage discrimination should be monitored by
the government itself which means that the government should take a strong stand on this point.
In addition, the Federal government is not the only one that should take this action against wage
discrimination, all level of governments should participate in preventing wage discrimination.
Based on many researchers, wages that are paid to women are not the same as the wages that are
paid to white men. Also, the jobs are held by white men are always considered a high prestige
position or requires more education while other jobs held by African Americans or women are
not. These factors are related to the many reasons that made the wage discrimination.
Considering the Civil Right Act, wage discrimination became prohibited whether basing on
gender or race (Kennedy, A., Nagata, E., Mushenski, B. & Johnson, D, 2011).
The new Lilly Ledbetter Fair Act was signed by President Obama, the President of the
United States of America. This act was signed to help solve wage discrimination. Lilly Ledbetter
Act provides help for women by allowing them to take any wage discrimination issue to the
court (Twarog, 2011). The gap of wages is not acceptable if we compare it to normal industries.
To give wages fairly to workers and also to avoid discrimination is by considering the resume,
the education, and the experience of each worker to be able to give the worker the right job with
the fair salary. Workers who have a high school diploma will be given a regular daily work tasks.
If these workers are willing to learn, they should be given training courses. On the other hand,
workers with a four-year college degree are supposed to get managerial positions because they
are more educated.
Wage discrimination exists not only in U.S, but also all over the world. Studies in
Galician, a part of Spain, found that there is wage discrimination between men and women. The
democracy in 1975 have many advantages on the labor rights to women, it analyzed work for the
lack of equal opportunities. Yet, today, the situation for female workers is far from equal;
methods have been developed to estimate several degrees of discrimination. The degree of wage
discrimination is determined by calculating the number of hourly wage earned monthly divided
by the number worked hours (Boquete, 2011).