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Acme Clinic is a health care facility based in a major Midwestern metropolitan area. It employs a variety of health care professionals including physicians and
Acme Clinic is a health care facility based in a major Midwestern metropolitan area. It employs a variety of health care professionals including physicians and nurses. In December 2006, one of its nurses, Mr. Jones, filed a lawsuit claiming salary discrimination based on gender. Specifically, he claims that "I am paid less than my peers." That is, Mr. Jones believes that he is paid less than comparably positioned employees.
In response, the clinic explained that the lower compensation resulted from the claimant's lack of education. After all, the clinic responds that "Mr. Jones is in the bottom half of the nurses in terms of educational attainment." They added that "when it comes to compensation, educational attainment matters." Mr. Jones responded that even if you account for education, he is still underpaid.
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After conducting your preliminary analysis, you interview supervisors in the clinic and find that years of experience are also highly valued by the clinic. Based on that observation, you request data on the experience of the nurses and receive the data contained. How is your analysis altered if you consider experience as a factor that determines compensation? Is Mr. Jones's underpaid according to this analysis? Why not?
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